Strategic View:
Staycity Group secures its second site in Vienna through a strategic development partnership with JP Immobilien. The deal involves the construction of a 300-unit aparthotel, blending new-build and conversion elements, scheduled for completion in 2028.
Full Story:
Irish aparthotel operator Staycity Group has formalized a key European development partnership, announced during the week of January 21, 2026. The group has teamed up with Vienna-based developer JP Immobilien (via its hospitality division) to deliver a flagship 300-key asset in Vienna’s 4th District.
The transaction is structured as a long-term lease club deal, where JP Immobilien acts as the developer and asset owner, while Staycity commits to a 20-year lease agreement. This “OpCo-PropCo”* split allows Staycity to expand its footprint without tying up heavy capital on its balance sheet, while providing JP Immobilien with a secured, bankable income stream to finance the construction.
The project is a complex hybrid involving both new construction and the adaptive reuse of existing structures, maximizing urban density. Andrew Fowler, Staycity’s Chief Development Officer, described the deal as “an important step in expanding our Vienna footprint” and a benchmark for the brand’s evolution.
*OpCo-PropCo: A strategy where a company splits into an Operating Company (OpCo) and a Property Company (PropCo). The PropCo owns the real estate, while the OpCo manages the business, often paying rent to the PropCo.
Why It Matters Summary:
As European tourism rebounds, the “Aparthotel” model is outperforming traditional hotels due to higher margins and leaner operations. This deal highlights how local developers (JP) are unlocking prime urban sites by partnering with international operator brands (Staycity) early in the development cycle.
Source:
Irish Post / Staycity News
