Queensgate acquires Generator
Queensgate Investments, a UK-based real estate private equity manager, has completed the acquisition of Generator Hostels from Patron Capital. The enterprise value of the transaction is circa €450M.
Queensgate’s plan is to own the portfolio for the long term, enhance the customer experience across all assets, and invest no less than €300M into expansion through additional freehold assets focused predominantly in the US.
The firm has appointed Alastair Thomann CEO and Andre Guettouche COO of Generator Hostels respectively. Thomann was formerly CEO of Penta Hotels, a global lifestyle hotel portfolio with 27 assets across Europe, North America and Asia, whilst Guettouche was formerly SVP of Penta Hotels. The pair has worked together since 2006 to transform of Penta Hotels, and Queensgate has appointed an interim board until they join proper.
Generator owns 14 predominantly freehold assets – 12 operational and two under development – totalling 8,639 beds across London, Paris, Copenhagen, Amsterdam, Miami, Dublin, Hamburg, Barcelona, Berlin Mitte, Stockholm, Madrid, Venice, Berlin Prenzlauer Berg and Rome.
The brand earns current revenues of over €70M, and targets the fast-growing sector of millennial customers, focusing on capital city addresses, design-led interiors, a safe environment and attractive shared social spaces.
