Europe’s oldest luxury hotel group Kempinski Hotels has entered into a strategic partnership with Duesseldorf-based 12.18. Investment Management Group to launch a luxury lifestyle concept, 7Pines Kempinski.
The joint partnership “represents an important step in (Kempinski’s) growth strategy” for the 120-year-old European luxury hotel group which owns 78 hotels across 34 countries, said Martin Smura, CEO and chairman of the board of Kempinski Hotels.
To promote the expansion, 7Pines Hotel Management has been founded and is based in Duesseldorf. In addition to Richter, Markus Lück, general manager of 12.18.’s flagship 7Pines Resort Ibiza, which opened last year, will act as managing director.
Following the development of 7Pines Kempinski, 12.18. plans to invest 500 million euros (US$550 million) to add 20 new 7Pines Kempinski hotels and resorts to its portfolio by 2022, in cooperation with institutional investors.
As part of the expansion course, 12.18. is also expanding its portfolio outside Europe for the first time with the acquisition of its first property in the US, the San Carlos Hotel in New York City, which will operate as the 7Pines Kempinski Manhattan following renovation.
Smura added: “New York has always been a dream destination for Kempinski Hotels and this important partnership makes it a reality.”
In addition to its know-how in managing first-class luxury hotels, 7Pines also benefits from access to the international network and the extensive distribution channels of Kempinski Hotels, said both companies in a joint statement.