Israeli hospitality group Fattal Hotels has made a further international property acquisition, buying the lease of the Dilly hotel in central London.
Following hard on the heels of a purchase in the US, the deal shows Fattal’s growing ambitions to deploy capital, often alongside investment partners, to acquire hotel assets for its growing business. In this latest transition, Fattal has paid a reported GBP66.5 million for the long leasehold of the Dilly Limited Edition hotel in Piccadilly, London. The asset was acquired from the Crown Estate, a UK vehicle owning a portfolio of properties that is essentially owned by the UK monarchy.
Building a Freehold Portfolio
For Fattal, buying the leasehold gives it greater control over a hotel that the company has operated since 2022. Then, it acquired the hotel’s operations from APG Asset Management, and Singapore’s GIC, in a GBP90 million deal. The historic property is part way through a phased renovation that will completely redefine the luxury hotel, which is due for completion in 2028.
Fattal has spent recent years acquiring properties across Europe, and now further afield, as it looks to grow its portfolio of properties. Since 2022, it has notched up purchases of more than 60 hotels across several European countries. Its Leonardo brand has grown with sub-brands including Leonardo Royal, Leonardo Boutique and Leonardo Limited Edition. The company is now also building its NYX lifestyle brand, while in its home market, the company also operates a number of independent hotels, and brands including Herods.
In July 2026, Fattal took its first step into the US, buying the Blakely Hotel in Manhattan. The 117 room property will undergo a comprehensive refurbishment, ahead of a reopening in mid 2027 as a Leonardo property.
At the end of July 2026, the group acquired the former Hilton Evian-les-Bains, overlooking Lake Geneva, and just inside France. The 170 room hotel is staying open, while a rolling refit takes place, adding a more modern look and turning the property into a NYX branded boutique offering. As well as 170 rooms, the hotel features a lakeside terrace, and conference facilities that ensure it appeals year round to both leisure and business travellers.
Fattal Invests Across Europe
In 2024, Fattal made a major step forward in the Dutch market, buying the Zien Group from its private equity owners. The deal gave Fattal an immediate injection of 12 hotels across The Netherlands, further building its presence there. Central Europe continues to be a major strategic market for Fattal.
It recently opened the NYX Hotel Erfurt in Germany, and at Vienna airport, the Leonardo Smart Hotel, with 510 rooms. The latter property has been developed with the highest environmental standards, featuring a hybrid structure extensively using wood, with a green heating and cooling system. Also under construction are another NYX hotel in Leipzig, with a 2027 opening date, and Ocean Berlin, a 169 room property with dramatic sweeping architecture, will will launch under the Leonardo brand.
