Union Investment sells the “Hilton Garden Inn” Hotel in Innsbruck to the Current Operator

The hotel had been part of the portfolio of the open-ended real estate fund immofonds 1 since 2015; which is distributed exclusively in Austria. Completed in 2011, the building was operated as a Ramada Hotel until July 2021, before being taken over by the HR Group—now Revo Hospitality—in 2022 and temporarily operated as the Tivolihotel Innsbruck. Since late 2024, it has been operated under the “Hilton Garden Inn” brand, after Union Investment invested approximately EUR 4 million to modernize the hotel and bring it up to the higher standards of the Hilton brand. Schiehser Hotels took over operations of the hotel at the beginning of the year and will now continue to manage it as the owner on a long-term basis.

“Innsbruck is an attractive market for operators and investors due to stable demand and a limited project pipeline. With 159 rooms, the hotel also has a very attractive size. We therefore seized this opportunity to sell it profitably to the current operator,” said André Pinto Gomez, Senior Investment Manager for Hospitality at Union Investment.

“During the 11-year holding period, the hotel increased its market value by approximately 20 percent and made a positive contribution to the fund’s performance. The sale is being made for portfolio strategy reasons and strengthens the liquidity position of immofonds 1,” said Petia Zeiringer, fund manager and member of the Executive Board of Union Investment Real Estate Austria AG.

The Hilton Garden Inn is located in a building with exceptional architecture south of Innsbruck’s Old Town, directly across from Olympia World. The Olympia ice arena and the Tivoli soccer stadium are also just a few steps away. The airport, the train station, and the city center—with its numerous attractions—are all within a few minutes’ reach.

Union Investment was advised by the real estate service provider Christie&Co, as well as by Vavrosky Heine Marth Rechtsanwälte GmbH and TPA.