The lease agreement will have no break option and will yield an annual rent of around EUR2.2 million ($3.1 million) once the hotel segment is completed by the first half of 2027. It will yield an annual rent of EUR2.6 million after a four-year step-up period. In addition, the lease will benefit from an annual indexation after the step-up period.
IREIT, on Nov 28, announced that it has signed a 20-year lease contract with Premier Inn. Premier Inn, which is the largest hotel chain in the UK, will operate 270 rooms in Berlin Campus, taking up 10,348 sqm (111,384.95 sq ft) of gross floor area, or some 12% of the campus’ total net lettable space.
The news comes after Peter Viens, the new CEO of the manager, said that the REIT was in "exclusive discussions" with a leading hotel brand and long-stay operator to lease about a quarter of the lettable space at IREIT's 3QFY2024 ended Sept 30 briefing in early November.
