Invel is investing in the hybrid hospitality operator YellowSquare and focusing on expansion in Southern Europe.
Aiming to develop 5,000 beds under management
With the aim of investing €200 million to acquire, develop and operate new facilities in Italy and in the main cities of Southern Europe, for a total 5,000 beds under management, a new strategic partnership has been launched between the private equity operator Invel Real Estate and YellowSquare. The hybrid hospitality company YellowSquare is already active in Rome, Milan and Florence.
YellowSquare ended 2023 with over 100,000 guests
The operation involves the creation of a new investment vehicle 100% owned by Invel, which will acquire and develop assets in Italy, Spain, Greece and Portugal, transforming them into new facilities managed by YellowSquare. At the same time, Invel will subscribe to a capital increase in YellowSquare, becoming one of the company's main shareholders. The deal is expected to close at the end of the first quarter of 2025. YellowSquare ended 2023 with more than 100,000 guests and total revenues of €14.4 million, an increase of 37% over 2022, confirming a trend of continuous growth.
“With YellowSquare we share a strategic vision and core values.”
“The agreement with YellowSquare is to meet the ever-increasing demand for hybrid solutions for the hospitality market in the main tourist destinations in Southern Europe,- says Gabriele Magotti, chief investment officer Invel. -This joint venture represents a milestone in our investment strategy in the hospitality sector, aimed at identifying and developing assets that meet the needs of an increasingly international and experience-oriented clientele. The partnership also allows us to combine YellowSquare's distinctive operational know-how with our expertise in real estate development and enhancement, laying the foundations for a reference platform in the Southern European market. We are excited to embark on this journey together with the YellowSquare team, with whom we share a strategic vision and core values.”
Bringing a hybrid hospitality model to new cities
“With Invel we have found an ideal strategic partner who shares our objectives and values,- adds Fabio Coppola, co-founder and chief visionary officer of YellowSquare. -Our goal has always been to create authentic connections between travellers and local communities, transforming each property into a meeting point, where people can share experiences, work, have fun and feel part of a global community. With this partnership we will be able to expand our network, bringing our hybrid hospitality model to new cities and creating new spaces for those looking for a travel experience that goes beyond just an overnight stay.”
Openings planned in Turin, Venice and Bologna
In Italy the next openings, which will be announced in the coming months, are planned for Turin, Venice and Bologna, helping to further strengthen the presence of the YellowSquare brand in Italy. Invel boasts significant experience in the hospitality sector, managing over 2,000 keys in the Mediterranean area thanks to its vertically integrated operational platform specializing in residential projects and luxury hospitality.
