L+R Hotels and Midstar target €1b hospitality portfolio

L+R Hotels and Midstar have formed a joint venture to invest in and improve hospitality assets throughout the Nordic region. 

With an initial €600 mln in equity and plans to leverage local debt, LR Midstar Holdings aims to build a portfolio exceeding €1 bn, targeting key urban and regional destinations in Sweden, Denmark, Norway, and Finland. 
The platform will acquire income-producing hotels with value-add opportunities, managed by LR Midstar Management.
The partnership leverages L+R's global reach and capital with Midstar's Nordic market expertise.
The joint venture aims to capitalize on the region's stable economies, tourism growth, and increasing institutional interest.
L+R Hotels past investments in the Nordic region include Finland’s Dividum hotel portfolio and Holiday Club resorts, Stockholm’s Berns Hotel, and a variety of commercial assets across Sweden, Norway, and Denmark.
Cody Bradshaw, global CEO of L+R Hotels said: “We have long admired the impressive track record of the Midstar team in executing portfolio aggregation and value-add strategies within the Nordic hotel sector. Based on L+R’s extensive history of successful real estate investments across this region; we see a compelling opportunity for our two firms to join forces in deploying significant capital into accretive acquisition opportunities while leveraging our collective in-house capabilities to build a market-leading platform and deliver compelling risk-adjusted returns for our shareholders.”
Peter Tengström, Marc Henriksen, and Robert Wilhelmsson, partners at Midstar, commented: “We’re honored to join forces with L+R Hotels in launching this new hotel platform. By combining our local expertise with L+R Hotels’ global reach and capital strength, we’re uniquely positioned to identify and unlock value in a market we know intimately. We share a long-term perspective and a commitment to creating hotels that perform both operationally and experientially for guests, operators, and investors alike.”