Prague Hilton Seeks New Owner as Tourism Rebounds

Prague Hilton, a symbol of Czech hospitality for over three decades, is up for sale.

This major real estate transaction, estimated at CZK 7.5 billion, is set to attract a wave of interest from international investors.

With nearly 800 rooms and conference facilities, it is the largest hotel in the Czech Republic. The sale process, originally planned for 2014, has been a long and winding road.

Complex legal battles involving former owner Seán Quinn and asset management firm Avid Asset Management repeatedly stalled progress. The COVID-19 pandemic further delayed the sale, impacting the hospitality industry.

However, recent signs indicate a new future for the hotel. The Hilton’s 2022 financial report revealed a turnover exceeding CZK 1 billion, marking a return to pre-pandemic business levels.

Built in 1991, it was one of the first major buildings in modern Czech history financed by Western capital. The hotel even faced a dramatic challenge in 2002 when European floods caused significant damage.

In 2004, Seán Quinn – an Irish businessman and conglomerateur – acquired the Hilton along with the Ibis hotel for CZK 3.5 billion. However, his fortunes turned sour after heavy investments in the failing Anglo-Irish Bank.

Despite ongoing legal battles, IBRC is now offloading Quinn’s assets, with the recent listing of the Slieve Russell hotel in Ireland marking another step in this process.

According to Cushman & Wakefield, hotel occupancy rates are nearing pre-pandemic levels. Revenue per room has also seen a significant increase.

This resurgence is fueling a surge in investor interest. Properties like the Four Seasons are also on the market, highlighting the renewed confidence in Prague’s hospitality sector.

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