Hero Enterprise of India, which represents the business interests of its founder, Sunil Kant Munjal and his family, has formed a £500m joint venture with Catalyst Capital, the European real estate investment and asset management firm.
The joint venture, Hero Catalyst Hospitality Ventures, will invest in and develop hotels, serviced apartments and hospitality-led projects, initially in the UK and Ireland. The joint venture is aiming to develop multiple projects with a “significant” equity commitment to acquire land and buildings. It will also look to invest alongside other landowners, owners or developers holding opportunities with hospitality potential.
Hero Catalyst Hospitality Ventures’ development team comes with experience of developing hotels for some of the most recognised brands and the team is already delivering in excess of 1,000 hotel and serviced apartment rooms in Manchester and Edinburgh.
Julian Newiss, chairman of Catalyst, said: “While working with Hero Enterprise, we are aligning ourselves with one of India’s most credible business houses and Hero’s considerable business experience will complement our expertise in hospitality development and investment management.”
Sunil Kant Munjal, chairman of Hero Enterprise, added: “We are delighted to return to the United Kingdom through this joint venture with Catalyst Capital. In the previous decade, we built and managed HEROtsc, a large contact centre business in the UK; we enjoyed our experience and since then Hero has been looking at interesting opportunities in Europe. This venture provides an ideal platform to establish a world-class hospitality development business in the region.
“In India, Hero is a trusted, household name known for its ability to grow businesses and sustain relationships. We have a successful track record of building exemplary and scaled businesses including some in complex and challenging environments. As long term partners, we aim to bring stability and growth to this hospitality venture while creating value for all stakeholders.”