Cushman & Wakefield, in collaboration with Hodges Ward & Elliott, represented Mornington Capital, an international hotel investment fund manager in the sale of Prague’s iconic Don Giovanni Hotel in Prague. The new owner is a leading family-owned fund from Scandinavia. Czech-based Czech Inn Hotels remains the hotel’s operator.
David Nath, Head of the Central & Eastern European Hospitality Team at Cushman & Wakefield, said: “The investment market for hotel properties is in a very good shape and the demand from investors is huge. To be specific, many prospective buyers have set their sights on large hotel properties, but this premium product is in short supply in Prague 1. As a result, investors look at the broader centre of Prague such as the Žižkov quarter where Don Giovanni is situated. The performance of the hospitality sector has greatly improved in recent years, which has contributed to achieving the maximum price.”
Tomáš Cejnar, senior investment advisor at Cushman & Wakefield Hospitality CEE, said: “This is the second largest transaction in the hospitality sector completed this year, following Prague’s InterContinental Hotel. Also, the fact that Czech Inn Hotels has retained its position as the operator of the Don Giovanni Hotel for the future shows that Czech hotel operators are perceived very positively by international investors.”
Christopher Eddis, Mornington Capital, said: “We were delighted to work with our whole team on this transaction and to be able to transfer the hotel into such good hands, in the form of the purchaser Wenaas Group. We have also been very happy that the hotel will continue with its existing management team from Czech Inn Hotels, who has been an operating partner of Mornington Capital for 15 years. Ongoing investment by the purchaser will ensure continued growth and improvement of the hotel, which has been extensively turned around since original acquisition in 2015.”
Czech Inn Hotels took over the helm at Don Giovanni in 2015 when German-based Dorint Hotels & Resorts sold the hotel. Czech Inn Hotels is one of the Czech Republic’s biggest management companies. Its network currently covers 20 hotels including the former luxury Kempinski Hotel (currently The Grand Mark). The company recently acquired the Plaza Hotel Prague in Prague 7 from Flow East.
Don Giovanni offers 412 rooms and 30 conference rooms with a total capacity of 2,000 seats. Its development started in 1993 and the hotel officially opened in the spring of 1995. Named after one of Mozart’s operas, the hotel was initially operated by the Rogner chain.