Highgate and Eternam Acquire Zafolia Hotel Athens

In Brief: Highgate and Eternam have jointly acquired the Zafolia Hotel in Athens, signaling continued global investor interest in centrally located Greek hospitality assets amid strong tourism demand.

Image Credit Zafolia Hotel Athens

Highgate and Eternam have jointly acquired the 191-key Zafolia Hotel Athens, an independent hotel in downtown Athens.

The transaction is Highgate’s first investment in Greece and expands its presence in Southern Europe. Highgate has a portfolio in Portugal and is pursuing opportunities in Southern Europe, including urban hotels and destination resorts.

For Eternam, the transaction is Alcyon Hospitality Europe’s second completed investment. The fund previously acquired the Hilton Garden Inn Rome Claridge in July.

Alcyon Hospitality Europe is the third fund in Eternam’s hospitality investment range and is set to deploy approximately €60 million of equity over the next 18 months.

Zafolia Hotel Athens has 191 guestrooms and suites. The property includes a seasonal rooftop pool and garden, holds a Green Key international environmental certification and is located near Athens landmarks.

The hotel has been family-owned and operated for nearly four decades. Highgate and Eternam plan to reinvest in the property, including renovations to all guestrooms and public spaces.