Generator Hostels, which comprises of 12 boutique hostels around the world, has been officially acquired by Queensgate Investments Fund II for £380m (EUR 450m).
The real estate private equity manager has also appointed Alastair Thomann CEO and Andre Guettouche COO respectively of Generator Hostels.
Thomann was formerly CEO of Penta Hotels, a portfolio of 27 hotels across the globe, while Guettouche was also at Penta Hotels as SVP.
They have both worked together since 2006, overseeing the transformation of the group.
Queensgate Investments’ plan is to own Generator Hostels for the long term, enhance the customer experience across all assets and to invest no less than £250m (EUR 300M) into expanding the portfolio with additional freehold assets focused predominantly in the US.
Generator Hostels owns 14 predominantly freehold assets (12 operational and two under development), totalling 8,639 beds, located in London, Paris, Copenhagen, Amsterdam, Miami, Dublin, Hamburg, Barcelona, Berlin Mitte, Stockholm, Madrid, Venice, Berlin Prenzlauer Berg and Rome.
Generator Hostels earns current revenues of over £59m (EUR 70M), and targets millennial customers.