24 juin 2021
We have advised long standing client, Clal Insurance Group, an Israel-based financial services company, on its purchase of a 49% stake in two London hotels owned by the Amsterdam based hotel owner and operator, PPHE Hotel Group. The two hotels are art'otel, Hoxton, which is under construction and valued at £279 million, and Park Plaza London Riverbank, valued at £263 million.
The firm worked on the deal alongside Israel law firm, Herzog Fox & Neeman, whose team was led by corporate partner, Asher Sacks. The deal represents a long-term commitment by Clal to the London market and is Clal’s first hotel investment in the UK.
Partner, and head of real estate, Keith Barnett said "This was a technically difficult deal to deliver across multiple jurisdictions, and we are delighted to have worked again with the Clal team to support their first hotel investment in the UK. The deal demonstrates the trend of increasing investment between Israel and the UK as well as the continuing attraction of the London market for major international investors. The deal played to our market leading capability in the corporate real estate and hotel sectors."
Idan Golomb, head of real estate at Clal Insurance Group added "The hotel sector experienced considerable disruption due to the pandemic but there remains a robust investment case for the hospitality sector as markets recover. Taylor Wessing's team of real estate experts took an efficient and commercial approach, providing seamless high-quality service against a demanding deadline to help us get the deal over the line."
Founded in 1987, Clal Insurance Group provides insurance, pension funds, provident funds, mutual funds and investments. It employs approximately 4,200 people and is one of Israel's leading insurance and pension funds. Clal has made a number of commercial real estate investments in the UK either on its own or in partnership with others.
The team was led by corporate real estate partner, Mark Rajbenbach and head of real estate, Keith Barnett and was the first major real estate deal to be supported by Nathan Krapivensky, co-head of the firm's Israel group who is based in Tel Aviv.