DIEAG leases two buildings in Schönefeld near Berlin to hotel group NOVUM Hospitality

DIE Deutsche Immobilien Entwicklungs AG (DIEAG) has succeeded in almost fully letting the recently completed Mizar Gate Office (MGO), originally conceived as an office complex, by attracting a new anchor tenant. The Novum Hospitality Group has signed long-term leases for two of the three individual buildings totalling 12,405 sqm. 175 serviced apartments will be built in Building C under the long-stay brand “acora Living the City.” The 150-room lifestyle design hotel “the niu Pax” will be built in Building A. Construction is expected to take between nine and twelve months. The hotel is scheduled to open in summer 2024.

The third individual building, House B, is used as an office building and currently has an occupancy rate of around 70%. Further lease negotiations are underway for this building.

Robert Sprajcar, CEO of DIEAG: “NOVUM Hospitality Group’s decision for Mizar Gate Office underlines both the attractiveness of the location and the quality of the property. We are delighted that we are now almost fully let and are approaching the successful completion of the project. The ensemble will be subdivided and sold as planned. I would like to take this opportunity to thank everyone involved in the project for their commitment and excellent cooperation.”

David Etmenan, Chief Executive Officer & Owner of NOVUM Hospitality: “We would like to thank the DIEAG team for their professional and knowledgeable assistance throughout the leasing process. Their expertise as developers and their commitment to the location and the property were evident at all times. We now look forward to continuing our journey together as we develop our future hotel offering, which will increase our presence in the Berlin area to over 20 hotels.”

NOVUM Hospitality operates 150 hotels with over 20,000 rooms in more than 60 locations across Europe. The owner-managed hotel group has been a renowned hotel operator for 35 years and focuses its expansion on the commissioning of new buildings and the revitalisation of existing properties. In addition to its five strong own brands, NOVUM Hospitality also operates as a franchisee for internationally recognised hotel brands. The use of two different accommodation concepts at Mizar Gate Office meets the existing demand from both short and long term travellers: The lifestyle design brand “the niu” is an attractive midscale hotel concept that combines “sustainable – inspiring – urban” with the lifestyle of today’s society. The “pax” suffix in the name refers to a well-known unit of measurement in the aviation and hotel industries: the abbreviation PAX (“persons approximately”) is used to indicate the number of passengers. With modern living and working spaces, “acora Berlin Airport Living the City” offers cleverly equipped serviced apartments combined with a fully automated digital customer journey and attractive community spaces for long-term travellers.

All Mizar Gate Office buildings comply with the applicable energy standards in accordance with EnEV 2016. There are 240 parking spaces available to tenants, of which 89 are in the underground car park and 151 above ground. Berlin’s city centre and the Berliner Ring ring road are within easy reach, thanks to the city motorway and excellent public transport links. Neu-Schönefeld also benefits from the Berlin area code due to its convenient location on the outskirts of the capital. At the same time, only around 58 per cent of the usual Berlin trade tax is payable. Already now, the airport district is one of the fastest growing regions in Germany.

Judith Lenz, Your Times Real Estate, acted as broker and Hogan Lovells as legal advisor in the leasing process.