German real estate management firm Deka Immobilien bought the 173-room Ruby Zoe Hotel & Bar in London’s Notting Hill district for €62 million ($66.9 million), or €358,381 per key.
Munich-based Ruby Hotels, which describes its hotels as “lean luxury,” has 18 hotels in operation or in the pipeline in the Western European cities of Amsterdam, Cologne, Dublin, Düsseldorf, Frankfurt, Geneva, Hamburg, London, Munich, Stuttgart, Vienna and Zurich.
Ruby has three hotels in Düsseldorf, two in Munich and three in Vienna.
The Ruby Zoe is the brand's second London hotel, and a third is in the pipeline. The Ruby Lucy is on London's Lower Marsh St., near Waterloo Station, south of the River Thames; and Ruby Stella will open in April in the Clerkenwell district, immediately east of the City of London financial center.
The Ruby Zoe, which opened in June 2023, is in the Deka-ImmobilienMetropolen fund portfolio, and it will remain under operation by Ruby Hospitality (United Kingdom) under a long lease.
The seller is developer Frogmore’s Frogmore Real Estate Partners (FREP) III fund, according to CoStar, which added at the beginning of 2024 that “the Bayswater-Notting Hill-Paddington Submarket may look forward to a more stable year of growth. Hotels in the area saw revenue per available room reach new heights in 2023, with preliminary full-year data posting a 20% uplift, as both occupancy and rates made strong gains.”
Frogmore acquired the freehold of the hotel’s building in April 2021.
Frankfurt-based Deka Immobilien has under management €55.5 billion of assets across all real-estate segments, as of the end of 2023.