Avingstone targets e500m at European luxury hotels

The Avingstone Fund, a new London-based vehicle, is to focus on the luxury end of the pan-European hotel market and has so far assembled e310m of equity commitments - but is aiming at e500m in total. Hotel real estate managers behind the fund are Avingstone Financial Founder and Chairman David Mongeau, and Piers Tallala. Target assets are 4- and 5-star properties, with an acquisition or development horizon of two years and a potential life of around seven, a spokesman told PIE/PFE. "The advantage is that we believe we are quite close to the bottom on the hotel market, and so we are building this intentionally as a 'club' fund," he added. "The real aspiration is to attract quite serious players who have something to bring by way of experience, alongside equity." (See upcoming PFE/PIE issues for full story)