M&G buys Motel One Brussels to deepen hospitality exposure

M&G Real Estate has acquired the Motel One hotel in central Brussels on behalf of the €5.9 billion M&G European property fund, further expanding the fund’s exposure to long‑income alternative sectors. 

Motel One Brussels

The asset adds a prime, inflation‑linked hospitality investment in one of Europe’s most resilient hotel markets.

Brussels continues to offer strong fundamentals for hotel investors, supported by year‑round business and leisure demand from EU institutions, international organisations, corporate travellers and tourism. The city records more than 6.5 million visitors and around nine million overnight stays annually, while future supply remains relatively constrained, underpinning occupancy and long‑term income resilience.

Located on Rue Royale, the 490‑room hotel sits between the European Quarter, the central business district and major cultural landmarks. The property is fully leased to Motel One under a long‑term triple‑net lease with annual indexation. Built in 2014 and refurbished in 2024, the asset will undergo further sustainability upgrades to achieve at least BREEAM Very Good certification.

The acquisition comes as the fund marks its twentieth anniversary, having built a diversified portfolio across Europe’s major markets. Following the purchase of Travelodge Poblenou in Barcelona earlier this year, Motel One Brussels is the fund’s second hotel investment and reflects its selective expansion into alternative sectors supported by strong structural demand.

Antonin Prade, investment director for France and BeLux, said transactions of this quality rarely come to market in Brussels, highlighting the combination of a prime location, recent refurbishment and a long‑term lease to a leading operator. He said the deal aligns with the fund’s disciplined focus on location, income security and asset quality.