• Sun. Jun 23rd, 2024

CoStar World News for May 4


May 4, 2023
One of the two Spanish hotels Stoneweg acquired is the 226-room La Niña, Tenerife, in the Canary Islands. (Be Live Hotels)


Geneva, Switzerland-based Stoneweg Hospitality acquired two hotels in Spain from Globalia Business Corp. operating under the brand umbrella of Be Live Hotels, for a total of 83 million euros, or $91.6 million.

Using the firm’s discretionary funds, the deal has expanded Stoneweg’s hotel portfolio from 1,281 to 1,691 rooms, an increase of approximately 25% as the company looks to capitalize on rising tourism in Spain. More than 60% of Stoneweg’s rooms in seven hotel properties are in Spain’s two most popular vacation island destinations, the Balearic Islands and Canary Islands.

Hotel News Now>>

Twitter has appointed JLL to advise it on options for a relocation of its London offices after a high-profile dispute with landlord the Crown Estate, led by King Charles, over unpaid rent, CoStar News can reveal.

The social media giant is marketing for potential sublease 84,000 square feet on floors one, three and six at 20 Air St. The space is already understood to be drawing strong interest according to London office brokers, and Twitter may stay put in about 20,000 square feet or relocate entirely elsewhere in London.

CoStar News>>

German residential property owner Vonovia has sold almost 30% of the shares in its Südewo portfolio for about €1 billion to Apollo Global Management, as Vonovia looks to manage its debt amid rising interest rates.

The deal values the portfolio of 21,000 residential units in Baden-Württemberg at €3.3 billion excluding debt and cash, which implies a discount of less than 5% to the value at the end of 2022. Last year, Vonovia said it was looking for a joint-venture partner in sub-portfolios after it became clear that it could no longer finance and grow the way it used to due to rising interest rates.

Thomas Daily>>

Credit Suisse Asset Management and investment firm Balzac REIM leased a joint-owned office property in Paris to financial services firm Eurazeo, which is taking the full space to regroup all of its employees in the region under terms of a 10-year lease.

Eurazeo Managing Director Frederic Maman said the company is establishing a new central location at 64-66 Rue Pierre-Charron with a lease of all 8,500 square meters at the property, which was acquired by Credit Suisse and Balzac in 2020 and is under renovation. Credit Suisse is currently in the process of being acquired by rival financial services firm UBS.

Business Immo>>

A massive federal workers strike with broad implications for the Canadian economy and the health of the office market has been settled after 12 days for one key set of employees, with no clear victory for those seeking the right to work from home more often. 

The Public Service Alliance of Canada labor union announced it has reached a tentative agreement that would see 120,000 Treasury Board federal workers it represents return to duty immediately, while 35,000 Canadian Revenue Agency workers will remain on picket lines. The union had originally sought concessions that would permit its members to work at home less than the two or three days per week currently required depending on job criteria, but ultimately agreed to have the issue addressed by a joint union-employer department panel on remote work. 

CoStar News>>

Executives of AvalonBay Communities said the national apartment owner is now looking to capitalize on steady demand in the Sun Belt to expand its presence, after a prior focus on other less volatile regions that didn’t heat up to the same extent.

The company’s properties are mostly in suburban coastal markets. CEO Ben Schall said the company is now finding land opportunities in its expansion markets where high-quality locations are falling out of contract, seeing a couple of deals where prices have dropped 30% to 35% from where they were nine months earlier.

CoStar News>>

This report was compiled from CoStar’s news publications in the United States, United Kingdom, Canada, France and Germany.

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