Schroders Capital acquires NH Collection Milan CityLife hotel from Invesco Real Estate’s European Hotel Fund

News Release - 13 February 2025

Schroders Capital, the USD97.3 billion private markets business of Schroders, has acquired the NH Collection Milan CityLife hotel on behalf of one of its pan-European hotel funds from Invesco Real Estate, the USD 85bn global real estate investment business of Invesco Ltd. (NYSE: IVZ).

The sale has allowed Invesco’s flagship European Hotel Fund to capture the strong performance delivered by the hotel since it was completed in 2022 and release capital for reinvestment.

Developed around a former church dating back to the 1930s and located in Milan’s Citylife business district, an area with limited direct competition, the NH Collection Citylife Milan is recognised for the quality of its architecture and services. Operated by NH Hotels Group, the four-star hotel offers 185 rooms and caters for both business and leisure travellers. ​

Schroders Capital, through its hotel platform, currently manages EUR3.6 billion[1] investments into hotel businesses operated by a dedicated team of 40 people located in offices in Paris, London and Amsterdam.

The platform manages a wide range of hotel investment profiles, from independent assets directly operated by Schroders Capital, with or without affiliations, to hotels under management or lease agreements operated by a third party. Other luxury lifestyle hotels include the likes of Hoxton Paris, Hoxton Amsterdam, Standard Ibiza, and Grand Hotel Central Barcelona.

Invesco’s European Hotel Fund is a diversified, open-ended, pan-European Hotel portfolio of high-quality centrally located assets. The Fund is available to professional investors only. Invesco Real Estate’s dedicated hotels team has an 18-year track record allocating over EUR2 billion equity into the sector, managing 53 different hotel investments across eleven countries and 31 different brands. The team has continued to create long-term value through an active asset management strategy, working with leading sector partners and focusing on prime hotels in European gateway cities. Please note the fund is only available to professional investors.

Thibaut Leonard, Schroders Capital, Co-Head of Investments, Hotels, said: ​
​"We continue to invest into high-quality hotels across key European markets with high barriers to entry and proven demand. ​ This is our third hotel in Italy alongside the Westin Milan and St Regis, Venice, and the third asset for the Schroders Capital European Leased Hotel Fund that focuses on leases linked to operating performance of the hotel. ​ We look forward to working with NH Hotels Group on this exciting asset.”
David Kellett, Managing Director, Head of Alternative Investments, Europe at Invesco Real Estate, said: ​
​“The NH Collection Citylife Milan has been an excellent performer for Invesco Real Estate. The sale, which capitalises on the strong performance delivered by the hotel since its completion in 2022, allows us to release capital for reinvestment. This profitable transaction will enable us to re-invest the proceeds in new deals and develop our well-regarded pan-European hotel portfolio. The current market timing is favourable, with an established operating recovery, making it an opportune moment to invest in hotels with significant value growth potential.”

The European hotels sector is currently benefiting from positive demand and supply fundamentals, coupled with good relative pricing. The market is seeing a strong rebound in transaction volumes, underscoring the attractive dynamics for well-positioned investors. Since the acquisition of the NH Collection Milan CityLife hotel by Invesco, the Milan market has performed strongly, helping the hotel to overperform its initial business plan by almost 15%.[2]

As part of this transaction, Schroders Capital was assisted by Legance (legal advice and due diligence), Deloitte (financial due diligence), Artelia (technical due diligence) and CA-CIB (debt). Invesco Real Estate was advised by Eastdil Secured and Hogan Lovells (legal).

1 As of 30 June 2024

2 Invesco Real Estate as of 31 January 2025

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Media contacts

Wim Heirbaut

Senior PR Consultant, Befirm

Tânia Jerónimo Cabral

Head of Marketing Schroders Benelux, Schroders

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Schroders Capital

Schroders Capital provides investors with access to a broad range of private market investment opportunities, portfolio building blocks and customised private market strategies. Its team focuses on delivering best-in-class, risk-adjusted returns and executing investments through a combination of direct investment capabilities and broader solutions in all private market asset classes, through comingled funds and customised private market mandates.

The team aims to achieve sustainable returns through a rigorous approach and in alignment with a culture characterised by performance, collaboration and integrity.  

With $111 billion (£81 billion; €94.5 billion)* assets under management, Schroders Capital offers a diversified range of investment strategies, including real estate, private equity, secondaries, venture capital, infrastructure, securitised products and asset-based finance, private debt, insurance-linked securities and BlueOrchard (Impact Specialists). 

*Assets under management as at 30 June 2025 (including non-fee earning dry powder and in-house cross holdings)

Schroders plc

Schroders is a global investment manager which provides active asset management, wealth management and investment solutions, with £776.6 billion (€906.6 billion; $1064.2 billion) of assets under management at 30 June 2025. As a UK listed FTSE100 company, Schroders has a market capitalisation of circa £6 billion and over 5,800 employees across 38 locations. Established in 1804, Schroders remains true to its roots as a family-founded business. The Principal Shareholder Group continues to be a significant shareholder, holding approximately 44% of the issued share capital.

Schroders' success can be attributed to its diversified business model, spanning different asset classes, client types and geographies. The company offers innovative products and solutions through four core business divisions: Public Markets, Solutions, Wealth Management, and Schroders Capital, which focuses on private markets, including private equity, renewable infrastructure investing, private debt & credit alternatives, and real estate.

Schroders aims to provide excellent investment performance to clients through active management. This means directing capital towards resilient businesses with sustainable business models, consistently with the investment goals of its clients. Schroders serves a diverse client base that includes pension schemes, insurance companies, sovereign wealth funds, endowments, foundations, high net worth individuals, family offices, as well as end clients through partnerships with distributors, financial advisers, and online platforms.

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