Investor Bain Capital has teamed up with two other investment partners, to buy a major Paris landmark, the Pullman Paris Montparnasse hotel.
The property has 957 rooms, and stretches 32 storeys into the sky, ensuring a strong visible presence on the Paris skyline. Built in 1974, it has been in the ownership of European REIT Unibail-Rodamco-Westfield for many years.
Investing with conviction
Bain linked with investment partners Columbia Threadneedle and QuinSpark Investment Partners to acquire the asset, for a reported price of more than EUR300 million, or around EUR315,000 per hotel room. Aareal Bank provided funding to support the purchase.
“European hospitality is one of our high conviction themes, where we see long term secular demand tailwinds in acutely supply constrained markets,” said Bain Capital partner Rafael Coste Campos. “The current macro dislocation is creating a rare window of opportunity to acquire strategic assets in Europe’s main gateway cities. Pullman Paris Montparnasse is an uncommon opportunity to acquire a newly refurbished, institutional-grade 957-key hotel in Paris, one of the most attractive hospitality markets globally.”
The hotel is already in good shape. The sellers completed a major refurbishment in 2021, investing over EUR216 million in upgrading facilities. Now, the buyers plan to target capital expenditure to improve the building’s operating costs and energy efficiency, with Columbia Threadneedle and QuinSpark leading on asset management.
Bain notes the asset has a number of positive features that position it well in the Paris hotel market. These include a mix of well proportioned guest rooms, ranging in size from 22 up to 60 square metres, larger than those of competitors. The site is also very well connected, providing easy access to the city’s key landmarks, making the hotel an ideal base for international visitors.
Guests can also enjoy a sky bar and two restaurants, along with a fully fitted gym. The building has an excellent suite of meeting and conference rooms, with the potential for the addition of a spa in the future.
French hospitality is a strong investor favourite
Bain’s strong conviction around the long term tourism market in France is underlined with the group making a further French acquisition in September 2025. An investment into Les Hotels de Paris has been made, adding an interest in a business with 17 hotels around the Paris region, and one in St Tropez in the south of the country. Bain contributed to a refinancing of the company and its portfolio of luxury hotels, with a EUR135 million subscription to super senior bonds.
Other savvy investors in the hotel sector share Bain’s confidence in the French market. Henderson Park, for example, acquired five Novotel Suites hotels in February 2025, with three sites in Paris plus Cannes and Lille. The double suite properties are all in line for refurbishment and broader asset management upgrades, while new management agreements have been signed with Accor.
