JLL Advises Tikehau Capital on the Sale of Hotel Prélude Opéra in Paris to Fattal Group, Marking their First Acquisition in France

JLL has advised Tikehau Capital, the global alternative asset manager, on the sale of the 59-room boutique hotel Prélude Opéra in Paris. The property has been acquired by Fattal Group, marking their first entry into the French market.

The Hotel Prélude Opéra has been owned by Tikehau Capital’s real estate value-add fund, Tikehau Real Estate Opportunity 2018[1]. Together with their operating partner Welfi Hospitality Management, they completed an extensive renovation in 2020 to upgrade the establishment. The successful repositioning led to a significant increase of the hotel’s trading performance on the back of the city’s impressive RevPAR increase.  

Fattal Hotel Group is an internationally recognized player in the hospitality industry operating more than 270 hotels across 20 countries. This strategic acquisition by Fattal Hotel Group reinforces their commitment to expanding their portfolio and establishing a strong foothold in France. The rebranding of Hotel Prélude Opéra under the Leonardo Boutique brand should further improve its attractiveness to visitors seeking a unique and central boutique hotel experience in Paris.

"France has long been a coveted destination for Leonardo Hotels. With the opening of the Leonardo Boutique Paris Opéra we are very happy to have created the basis for further expansion in France," explained Yoram Biton, Managing Director Leonardo Hotels Central Europe.

 “The successful sale of Hotel Prélude Opéra underscores the effectiveness of our value-add strategy and reflects our unwavering confidence in the momentum of the hospitality market," explained Frederic Jariel, co-head of Real Estate at Tikehau Capital. "Having acquired the hotel in 2019, we implemented a comprehensive renovation program during the challenging Covid period, elevating it to a 4-star status. This strategic enhancement not only contributed to the improved operational performance of the hotel but also positioned it favourably for a successful exit”.

Leading the transaction on behalf of Tikehau Capital¹, JLL’s Hotels & Hospitality Group demonstrated their expertise to conduct a seamless transaction within an uncertain context to ensure a successful sale process. "Hotel Prélude Opéra's central location in the 9^th arrondissement and its critical size brought significant attention from domestic and international investors highlighting the investors’ confidence in Paris. Leveraging on our extensive international market knowledge, we identified Fattal Hotel Group as a key potential buyer, mindful that France was the missing puzzle piece needed to complete their European presence” commented Laura Ben-Ibgui, Head of France Hotels Transaction for the EMEA Capital Markets at JLL.

The acquisition of Hotel Prélude Opéra by Fattal Hotel Group is a testament to the city's global appeal as a destination for both tourists and investors. With the anticipation of upcoming international events, Paris is poised for a prosperous year in the hotel industry.

¹JLL and IMHOTEL were both mandated for the sale. Fattal Group was brought by JLL.