Dalata on Monday said it has reached an agreement with German property investor Deka Immobilien to lease and operate its first hotel in Berlin.
The property, which previously operated as the Novotel Berlin am Tiergarten hotel, is undergoing an 18-month refurbishment and is expected to open as the Clayton Hotel Tiergarten in the second half of 2026.
Once the works are completed, the hotel will comprise 274 bedrooms as well as a meeting and events centre, sauna, steam room and gym.
The Tiergarten hotel will be Dalata’s second in Germany, after it acquired the operating leasehold on a hotel in Düsseldorf in 2022.
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“We are very excited to announce our first hotel in Berlin, a leading global travel destination and a key strategic location in our European expansion strategy,” said Shane Casserly, deputy chief executive of Dalata.
“Situated close to numerous leisure and business hubs, the fully refurbished hotel will be ideally positioned to benefit from Berlin’s rich mix of cultural, historical, sporting, and business events and attractions. We value deeply our partnerships, and we look forward to expanding our footprint in Germany and continuing our strong relationship with Deka”.
Dalata and Deka have a prior history. In 2020, the hotel group agreed the sale and leaseback of its Clayton Hotel Charlemont in Dublin with Deka for €65 million.
The sale injected cash into the business at a time when many of its properties were closed or operating in a limited fashion due to the Covid-19 pandemic.
Meanwhile, Dalata, which put itself up for sale in March, said last week that it “continues to engage” with parties who are participating in the formal sales process and who have submitted revised non-binding cash proposals to acquire the entire issued and to be issued share capital of the group.
Dalata rejected a €1.3 billion bid from a Scandinavian consortium in early June.
