Schwartz Family Company, Australia’s largest private hotel owner, has signed on as a key investor in the redevelopment of London Paddington hotel in a partnership with Singapore-based private equity real estate firm Prima Asset Management.
The partnership, which may also see future ventures, marks a significant step in Prima’s real estate expansion in London, Europe’s leading hotel investment market.
Schwartz Family Co’s Australia portfolio currently boasts 15 hotels and over 4,300 rooms.
Director, Dr Jerry Schwartz, said this London destination represents not only a high value as a financial investment but also in sentimental value.
“Having been associated with Prima’s team for over two decades, continuously fostering a wonderful relationship, this investment is deeply meaningful as it reconnects me with the neighbourhood where I spent some of my early life,” Schwartz said.
“Prima’s vision for this project, along with future opportunities, aligns perfectly with my passion for creating sustainable, modern hospitality spaces.”
As part of its expansion, Prima is focused on acquiring and transforming Central London hotels, as well as pursuing re-positioning and development opportunities in the Purpose-Built Student Accommodation (PBSA) and Co-Living sectors in strategic locations across the UK, with the support of Singapore-based investment management firm Aurum Gravis, alongside Baksh Capital.
“Our strategic focus on value-add opportunities in Central London is already yielding promising results,” said Prima CEO and Co-Founder, Ben Hall.
“By combining our in-house expertise with high-value, industry-leading partnerships, we are positioned to deliver sustainable long-term returns through our regulated VCC Fund, managed by First Degree Global Asset Management.”
According to Prima’s Senior Investment Manager, Michael Van den Brande, Prima expects to continue to capitalise on further opportunities in this key market.
“With London recording €2.6 billion in hotel transactions in H1 2024, up 215% from H1 2023, the city remains Europe’s top hotel investment destination and with a robust pipeline of deals, we expect to close a further hotel acquisition by Q1 2025,” he said.
“Establishing strong partnerships and a presence in London underscores our growth strategy,” added Prima Co-Founder, Birbal Singh Bajaj.
“We are excited about what the future holds as we expand and unlock more investment opportunities.”