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Budapest Business Journal | June 05 – June 18, 2015
REAL ESTATE NEWS Latest four-star opens in heart of city Prestige Hotel Budapest joins the capital’s flourishing hotel market, which saw both occupancy and room rates improve last year. GARY MORRELL
The latest edition to the Budapest hotel market, the 85−room Prestige Hotel Budapest in Vigyázó utca in the central fifth district has welcomed its first guests. The design hotel, owned by the Jordanian−born Mazen Al Ramahi, was planned and built by the same group who worked on the Boutique Hotel Budapest in Só utca and the Continental Hotel Budapest in Dohány utca, also owned by Al Ramahi. He describes the hotel as: “A great combination of modernity, classic old− fashioned elegance and the latest technology.” The hotel already has a four− star ranking and is awaiting a possible four−star Superior accreditation from the Hungarian Hotel Association. “The historic facade of the gorgeous building in Vigyázó Ferenc út, designed by József Hild, has been meticulously restored into its former beauty. The building has been restored in such a way that the internal structure is intact, allowing all 85 rooms to open to the inner circular gallery, which is a six−story high atrium. The idea was to keep the classic character of the building by preserving the upper−class elegancey from the most beautiful time of the Monarchy,” said the hotel operator. ADVERTISEMENT
The new Costes Downtown restaurant, above. At top right and right are images from the Prestige Hotel Budapest. The hotel offers standard, deluxe and executive rooms and suites overlooking the inner courtyard. Some suites extend to 50 sqm.
Home to new Costes The hotel includes the 60−seat Costes Downtown restaurant, the newest outlet of the Costes brand owned and operated by Sziget co−founder Károly Gerendai and Miguel Rocha Vieira. The original Costes restaurant is located on Ráday utca and
was the first restaurant in Budapest to be awarded the Michelin star. Another feature is a wine cellar adjacent to the 28−vehicle underground parking area that will provide the possibility for wine tasting events. In addition there will be a relaxation room with fitness facilities, sauna and Jacuzzi, and a café lounge. The total cost of the Prestige Hotel redevelopment was €10 million, funded by the owner and a loan from OTP Bank. According to Al Ramahi, occupancy at Prestige Hotel since opening has been 90%.
The longer−term aim of the management is at least 80% occupancy. The Budapest hotel market performed outstandingly last year as the average hotel occupancy rate in the capital rose to 75%, and the average room price was 7% higher than in the previous period according to CBRE. The company put Budapest hotel stock at 2,700 three−star rooms, 7,300 four− star rooms, and 1,500 five−star rooms, in addition to 7,400 non−classified rooms as of the beginning of the year. Al Ramahi said he plans to keep the Prestige Hotel in his three−hotel Budapest portfolio and has expressed a desire to expand it further by developing another Budapest hotel with what he defines as a unique design.