London - Queensgate Investments ("Queensgate") today announced the agreement to sell the European operations of Generator Group, a leading lifestyle hospitality platform, to private real estate funds managed by Brookfield Asset Management for EUR 776M.

Queensgate acquired Generator in May 2017 for EUR 440M.

Queensgate transformed a regional hostel business with 12 assets, 1,894 rooms in 2016 to an internationally recognised hotel brand with 21 assets, 3,925 rooms in 2025.

Generator's success is due to the focus on the Gen Z traveller seeking tier I city centre locations, lifestyle F&B and affordable shared accommodation. For ownership Generator's success waterfalls into superior yield for its accommodation and attractive 50% plus operating margins.

Brookfield is acquiring the European arm of Generator Group with 15 assets, 2,749 rooms.

Jason Kow, CEO of Queensgate Investment, commented: "Queensgate is proud to have acquired Generator smartly EUR at 440M, to have transformed the brand, earnings and asset base, and to successfully exit the European arm to Brookfield at EUR 776M. We are proud of Generator's journey and look forward to watching Generator's continued success under Brookfield's ownership".

Morgan Stanley & Co. International plc. acted as sole financial advisor to Queensgate Investment. Brown Rudnick LLP and EY advised Queensgate. Kirkland & Ellis, DLA Piper, and KPMG advised Brookfield.

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About Queensgate

Queensgate Investments advises on and manage around GBP 3.0B worth of assets throughout Europe, the UK and the US. Queensgate is focused on investing in and adding value to quality "real asset" businesses."

About Generator

Generator is Europe's fastest growing boutique accommodation brand with hostels and affordable boutique hotels located in the most central locations across Europe and North America including Dublin, London, Copenhagen, Hamburg, Berlin, Venice, Barcelona, Paris, Amsterdam, Stockholm, Rome, Madrid, Miami and Washington D.C.

Will Heron

Account Executive

M: 07827 636 560

T: 0208 065 5712

E-mail: wheron@thecommunicationgroup.co.uk

Web: www.thecommunicationgroup.co.uk