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A strategy based on tangible assets and a resilient sector

The hospitality sector is structurally growing and has been resilient to different cycles for 20 years*. Our investment strategy is based on extensive sourcing aimed at building diversified portfolios and a leading hotel management operating partner: Honotel *Source: INSEE
Key figures
Our funds ESG Policy
100%
in hotel assets
240 M€
invested
5
Funds under management
+120
completed transactions

Our five levers for value creation

1
Targeted acquisition
HIC adopts a selective investment approach, targeting only those opportunities that offer high intrinsic value. Our focus is on a variety of off-market transactions, mostly Propco and Opco. In addition, we target high-potential hotels and hostels mainly located in dynamic tourist and business areas in France.
2
Optimised financing
HIC leverages its strong partnerships with leading banks to optimise hotel investment transactions. We favour the use of long-term debt to optimise the leverage of our investments. In addition, we ensure strict adherence to the budget envelopes dedicated to repositioning work, by following realistic business plans.
3
Repositioning
The value creation strategy is supported by the expertise of Honotel Développement and Honotel MDO teams. They adopt a marketing strategy and a CapEx programme tailored to each hotel in order to respond to changing consumer needs and urban trends. The offering is diversified into Boutique Hotels with an unique touch, Smart Hotels for modern travellers as well as Business Resorts for a reinvented business travel experience.
4
Professional management
At the heart of our development strategy is the HappyCulture label, dedicated to customer experience and operational turnaround. HappyCulture is responsible for the sales & marketing deployment of our portfolio companies. In addition, Honotel Développement's team of experts handles all aspects of the operational management of hotel assets: financial optimisation, human resources, regulatory compliance, facilities maintenance, social and environmental responsibility. Through this industrial approach and the establishment of management standards, HIC's Hotels benefit from economies of scale.
5
Opportunistic divestment
Hôtel Investissement Capital ensures that the independence of each portfolio company is maintained in relation to the other companies so as not to anticipate one specific exit condition rather than another. Where appropriate, the SGP has full discretion to identify the best buyer and the best exit option for each hotel. Assets can be disposed in a unit sale, block sale or as a portfolio, depending on the market's momentum.

Funds dedicated to hotel investment, combining real estate ownership and operational control

Since its creation in 2015, Hotel Investissement Capital has raised five funds dedicated to the hospitality sector, with a total investment capacity of nearly €250 million.

The five FPCIs share the same DNA and invest in midscale assets located in French or European regional capitals. The target investment horizon is between 5 and 7 years.

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FPCI Cap Hospitality V
IFI
PV
150-0 B ter
  • Midscale & Upscale hotels
  • High value-creation opportunities
  • Predominantly Propco & Opco deals
Vintage : 2023
Target fund size : 10- €20M
Strategy : Core +
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FPCI Cap Hospitality IV
IFI
PV
  • Midscale & Upscale hotels
  • High value-creation opportunities
  • Predominantly Propco & Opco deals
Vintage : 2023
Target fund size : € 100M
Strategy : Core +
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FPCI Cap Hospitality III
IFI
PV
  • Midscale Hotels
  • Opportunistic investments linked to the Covid-19 window
  • Located in French tourist destinations
  • Predominantly Propco & Opco deals
  • 2 acquisitions
Vintage : 2021
€ 10M raised
Strategy : Core +
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FPCI Cap Hospitality
IFI
PV
  • Midscale & Upscale city-centre hotels
  • Located in France and in Madrid
  • Predominantly Propco & Opco deals
  • 10 Operations
Vintage : 2019
€ 42M raised
Strategy : Core +
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FPCI Hôtel Patrimoine
IFI
PV
  • Midscale & Upscale hotels in Paris and dynamic regional hubs
  • Predominantly Propco & Opco deals
  • 8 Operations
Vintage : 2016
+ € 40M raised
Strategy : Core +

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Committed Hospitality
– ESG :

HIC’s policy is part of a long-term vision in which ESG criteria are seen as vectors for value creation and financial performance for hotel assets.

ESG appendix for CHIV and CHV funds

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HIC's Investment fundamentals

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Disclaimer

An investment in a hotel investment fund involves a significant degree of risk and should only be considered by Investors whose financial resources are sufficient to enable them to assume this risk and who do not have an immediate need to liquidate their investment or to obtain repayment of the amount released from their commitment.

Changes in legal, tax or regulatory regimes may occur during the life of a fund and could adversely affect its performance or that of its investments.

No guarantee can be given that the performance objectives of a hotel investment fund will be achieved. Past performance of similar investments is not necessarily indicative of the future performance of a hotel investment fund’s investments.

Any investment in an FPCI is subject to risk, including but not limited to: risk of capital loss; risk that the return will be lower than the target return; liquidity risk (the units of the FPCI will be locked-in for the duration of the fund); market risk (the resale of the FPCI’s assets is subject to the ups and downs of the property and hotel markets); operational risk (compliance, management, works, etc.).

Investing in an FPCI corresponds to subscribing to shares in a collective investment, and not directly in the underlying hotel asset(s). These investments are reserved for certain categories of investors within the meaning of MiFID regulations: non-professional investors whose investments are eligible under article 423-49 of the AMF General Regulations, professional investors and eligible counterparties.

By investing in FPCI shares, you are fully aware that you are exposing yourself to the following risks (non-exhaustive list):

– The liquidity of your investment will be limited for the duration of your investment and until the fund matures, i.e. a period of 10 years;

– The profitability of your investment depends on a number of factors, in particular changes in conditions in the hotel sector;

– The profitability of any investment is systematically offset by the risk of capital loss: the higher the target return, the greater the risk of capital loss.

– Past performance is not a reliable indicator of future performance;

‘- The future performance objectives presented on this website are based on reasonable assumptions and objective data determined by HIC : they do not constitute an exact indicator or promise of performance.

Before any investment, you should read all the fund’s regulatory documents, in particular: the key information document, the fund rules, and the latest annual and half-yearly reports (where applicable).

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Our projects
Find out more about our acquisitions as well as our CapEx and commercial repositioning operations
Nos hôtels
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