Catella, the group listed in Sweden with some SEK200bn (€18.8bn) AUM has provided further insight into Catella Hospitality Europe (CHE), a specialised asset manager and operating partner that launched over the summer and which features co-founders previously working together at Algonquin.
Tourism is one factor behind continued growth in Europe's hotel investment market, with yields and returns describedf as 'solid'. CHE is intended to provide expertise in this market that is often lacking in-house; on behalf of clients, CHE will identify investment opportunities as well as manage them, acting as an operating partner to maximise return.
CHE will address both investments requiring stabilisation as well as turnaround situations, where capex, rebranding and management need optimising.
Timo Nurminen, head of Catella Property Investment Management, said: "Establishing CHE is a logical step in Catella's strategy. Building a strong dedicated team for this segment is the key driver for success. Pierre-Louis, Rodolphe and Maxime bring us an unique sector competence in this field."
Of those founding partners, Pierre-Louis Bellanger spent 10 years with Algonquin's acquisition team; Rodolphe Frégé spent three years as an investment director at Algonquin; and Maxime des Monstiers was co-head of Operations at Algonquin, supervising hotels and serviced flats.
The three co-founders jointly commented that: "It is great to join forces with Catella and benefit from its long-lasting relationship with most European real estate investors. The group's focus on the development of investment management platforms will enable us to work along with country specialists present in nine European countries. We will offer our hotel expertise to real estate investors willing to address one of the most promising asset class on today's real estate market. We will follow the entrepreneurial mindset that has enabled the success of Catella's teams around us."