FDL : Press release...

f4e716a3-336f-4127-81f7-c6679a23bae9.pdf FDM Management PRESS RELEASE

Paris, 20 May 2016

FDM Management: €936 million in new hotel investments

With the announcement of €936 million in investments, FDM Management confirms the success of the property investment model based on premises and business assets, in promising markets and in partnership with leading hotel operators.

A dedicated vehicle for investments in hotels (premises and business assets) in Europe, FDM Management was created by the Foncière des Régions group with the support of major institutional investors. Its main shareholder is Foncière des Murs (Foncière des Régions group), which holds 40% of the share capital. The other shareholders are ACM Vie, BNP Paribas Cardif, Caisse des Dépôts, Crédit Agricole Assurances and Société Générale Insurance, each holding approximately 12% of the capital.

FDM Management announces the acquisition of two hotel portfolios, located in Germany, France and Belgium, for a total of €936 million, thereby increasing its overall portfolio to more than

€1.1 billion.

Signature of a preliminary purchase agreement for an iconic portfolio in Germany

The first portfolio comprises 9 hotels boasting a very good location in the city centre of Berlin, Dresden and Leipzig. It covers 4,131 rooms in the medium- and high-end segments, operated by international brands (Park Inn, Radisson Blu, Westin, Pullman, Mercure, Ibis), including the iconic Park Inn Alexanderplatz and Westin Grand in Berlin. These hotels also have more than 18,000 m² in retail premises, of which 88% are let to desirable brands in Berlin, together with an additional buildable area of approximately 70,000 m² at Alexanderplatz in Berlin, offering an attractive development pipeline in the medium term. The assets should be transferred this summer. Event Hotels will retain the management of this portfolio.

Eastdil Secured and Jones Lang Lasalle will provide consultancy services for this transaction.

Acquisition of exceptional hotels in France and Belgium

The second portfolio comprises 9 exceptional hotels in France and Belgium, located in the best areas of historical city centres, notably in Lille (60% of the rooms, including l'Hermitage Gantois and Le Couvent des Minimes), and in Rouen (the Bourgtheroulde hotel). It covers 650 rooms operated mainly under a franchise agreement, in the medium- and high-end segments, under international brands (Autograph Collection, Best Western, Crowne Plaza and Holiday Inn). This portfolio is managed by FDM Management.

CA-CIB provided consultancy services for this transaction.

Taking into account these two transactions, FDM Management's main financial indicators are as follows: assets of €1.1 billion, LTV of 50% and full-year revenue of €210 million.

"With these two major transactions, we are entering high-growth markets in partnership with the main international operators: Marriott, Starwood Hotels and Resort, IHG, AccorHotels, Best Western and Carlson Rezidor. As such, we are securing our position as a major player in hotel investments, and our aim to continue our development in Europe," stresses Dominique Ozanne, Chairman of FDM Management and CEO Hotels & Hospitality Management at Foncière des Régions.

Contact:

[e-mail]

About FDM Management

FDM Management is a dedicated vehicle for investments in hotels (premises and business assets), offering innovative real estate solutions to the major hotel operators. Created in 2014 by the Foncière des Régions group in partnership with long-term investors, FDM Management strives for sustained development in Europe. The vehicle draws on its own financial and human resources to manage its hotels.

Appendix: The 18 hotels acquired by FDM Management

Country	City	Hotel	Brand / Group	Number of rooms	Segment
Germany	Berlin	Park Inn Alexander Platz	Park Inn / Carlson Rezidor	1012	Midscale
Germany	Berlin	The Westin Grand Berlin	Westin / Starwood	400	Upscale
Germany	Dresden	Ibis Dresden Lilienstein	Ibis / AccorHotels	918	Eco
Germany	Dresde	The Westin Bellevue Dresden	Westin / Starwood	340	Upscale
Germany	Dresde	Pullman Dresden Newa	Pullman / AccorHotels	319	Upscale
Germany	Erfurt	Radisson Blu Erfurt	Radisson Blu / Carlson Rezidor	282	Upscale
Germany	Leipzig	The Westin Leipzig	Westin /Starwood	436	Upscale
Germany	Leipzig	Radisson Blu Leipzig	Radisson Blu / Carlson Rezidor	214	Upscale
Germany	Potsdam	Mercure Potsdam City	Mercure / AccorHotels	210	Midscale
Belgium	Bruges	Martin's Relais	Martin's Hotel	44	Midscale
Belgium	Gand	BW Cour St Georges	Best Western	29	Midscale
France	Le Touquet	Holiday Inn Le Touquet	Holiday Inn / IHG	88	Midscale
France	Lille	Crowne Plaza	Crowne Plaza / IHG	121	Midscale
France	Lille	Hermitage Gantois	Autograph Collection / Mariott	89	Upscale
France	Lille	Couvent des Minimes	Independent	83	Upscale
France	Lille	Bellevue	Independent	60	Midscale
France	Lille	Art Déco	Independent	56	Midscale
France	Rouen	Bourgtheroulde	Autograph Collection / Mariott	78	Upscale

Pictures:

© Park Inn, Berlin

© Westin, Berlin

© Mercure, Potsdam