Arena Hospitality Group has entered into a new HRK 32.0 million (EUR 4.2m) loan agreement with AIK Banka a.d., Belgrade in Serbia for the acquisition of 88 Rooms Hotel in Belgrade.
Hotel 88 Rooms is a contemporary hotel is minutes away from the historic old town. It offers 88 rooms and suites, a restaurant, bar and conference room and fitness facilities. The completion of the acquisition is expected during Q1 2021. The transaction value is HRK 45.0 million and approximately HRK 32.0 million will be funded from the new loan.
The acquisition of 88 Rooms Hotel is yet another milestone in a pursuit a strategy to further expand the business through the CEE region. This acquisition further allows the Group to increase its operations across cities in Europe aiming at maintaining and increasing its profile in the upscale, upper upscale and lifestyle market segments in the CEE region, whilst striving to create and realise shareholder value.
The pipeline of the Group for the short to medium term includes the repositioning of Hotel Brioni Pula into a luxury upper upscale hotel with 227 rooms building upon the hotel’s status and reputation, with the ambition for it to become the best in class hotel in Pula and the surrounding area, repositioning of campsite Arena Stoja in Pula into an upper upscale campsite, conversion of an iconic building in a prime location in the heart of the city of Zagreb into an upper upscale 113 bedroom hotel which will include a destination restaurant and bar, wellness and spa facilities, fitness centre, event space and parking, and refurbishment of hotel Riviera in the heart of the city of Pula.