CPP Investments, Hamilton’s European hotels JV buys €172m seed asset

Canada Pension Plan Investment Board (CPP Investments) and Hamilton Pyramid Europe’s newly created hotels investment venture has invested €172m to buy its seed asset in Italy’s capital city.

The joint venture has bought W Rome, a luxury hotel located in the Ludovisi District in central Rome, from King Street Capital Management and Omnam Investment.

W Rome features 162 guest rooms, 48 private balconies, exclusive terraces on the top floors, a rooftop with a bar and swimming pool as well as an inner courtyard garden. The asset, which is Italy’s first W Hotel, re-opened in April 2022 after a full redevelopment.

Andrea Orlandi, managing director, head of real estate Europe at CPP Investments, said: “Rome has historically been a top destination globally for both leisure and business travel, and we believe this will continue to be the case for decades to come.

“The acquisition of the W Rome positions our joint venture with Hamilton Pyramid Europe well to capitalise on the continued strength of Rome as a travel destination.”

Back in August, CPP Investments teamed up with London-headquartered hotel operator and co-investment partner Hamilton to create a partnership focused on the European hospitality sector.

At the time, the Canadian investor said it had committed €475m to the European hotel real estate investment venture which has initial equity commitments of €500m.

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CPP Investments said today that the €172m W Rome hotel is being acquired with part of the committed capital.

Tobi Weissinger, partner at Hamilton Pyramid Europe, said: “We are delighted to be completing the acquisition of the W Rome in JV with CPP Investments.

“We have strong conviction in the long-term potential of the asset as one of Rome’s leading luxury lifestyle hotels, given the excellent location in the heart of the city, the fantastic quality of the hotel and the market-leading brand.”

Paul Brennan, managing director and head of European real estate, King Street, said: “The transaction is representative of King Street’s ability to successfully reposition and deliver a trophy hotel into a difficult-to-access market which has an under-representation from major international brands.”

David Zisser, CEO and founder, Omnam Group, said: “The transaction is a testimony of the strengthening of the Roman market and the W brand. This sale demonstrates Omnam’s ability to create lifestyle luxury experiences that celebrate their destinations, whilst honouring its environment.”

Source: Real Assets IPE

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