Avignon Capital completes refinance of NH Hotel
Avignon Capital, the European investment and asset management firm, has completed the refinance of the NH Amsterdam Zuid Hotel, a core asset in Avignon’s Dutch portfolio. This transaction supports Avignon’s long-term income strategy, underpinned by a significantly long lease agreement with the NH Hotel Group.
While facing challenging leisure debt market, Avignon completed the refinancing with Berlin Hyp, building on a strong existing relationship across multiple European assets. The new facility offers improved terms that align with Avignon Capital’s long-term asset management objectives.
Avignon Capital acquired the 213-key, 4-star hotel in 2017, marking its first Dutch acquisition. Strategically positioned between the city centre, Schiphol Airport and the RAI convention centre, the hotel continues benefit from Amsterdam’s strong post-pandemic tourism and business travel recovery.
Since the acquisition, Avignon Capital has invested in significant technical upgrades to the property, including more recent ESG focused investment, in conjunction with the NH Hotel Group to improve the overall efficiency of the asset with further enhancements to be made throughout the hold period.
The refinance underpins Avignon Capital’s ability to adapt to prevailing market conditions and to optimise the asset’s value over the long term.
“This refinance demonstrates the positive relationship Avignon has built with debt providers throughout Europe and in particular with Berlin Hyp, and continued confidence in the Amsterdam hospitality market and the strength of the NH Amsterdam Zuid asset. We’ve built a strong operational track record with NH Hotels and remain focused on strategic value creation through active management,” said Floris Ledder, Director at Avignon Capital.
Clifford Chance assisted Avignon Capital and Van Doorne assisted Berlin Hyp on this transaction.
