Aroundtown, a leading European real estate company, is accelerating the implementation of its mixed-use strategy in urban centres. A key component of this strategy is the addition of serviced apartments to existing office spaces. This expansion aims to establish new usage rhythms, strengthen the economic resilience of properties, vitalise urban districts beyond traditional office hours, and create attractive return prospects extending beyond typical office lease terms. The integration of serviced apartments thus serves as a strategic building block for the sustainable value development of existing properties.
An example of successful implementation is the Coolse Poort property in Rotterdam. Previously used purely as an office building in a central location, the asset has been extensively modernised and transformed. It now houses serviced apartments, conference facilities, and supplementary amenities such as a gym. These measures have developed the property into an integral part of the city centre, aligned with the needs of the local environment. Barak Bar-Hen, CEO of Aroundtown, stated that while offices remain central to urban areas, requirements for buildings are changing across the market. Therefore, Aroundtown is specifically developing existing properties with mixed-use concepts and supplementing them with uses such as hospitality, gastronomy, or fitness. Serviced apartments, particularly in city-centre locations, are a relevant component as they enable flexible accommodation formats. They combine high demand with long-term return prospects, which are often more attractive than regular office rents, and complement existing office locations with a use that contributes to the revitalisation and sustainable value development of urban districts.
As early as 2025, Aroundtown realised the conversion of an office building into a hotel property in Rüsselsheim near Frankfurt, which was subsequently leased to B&B Hotels. This approach is being pursued in various European cities. In London, specifically in the Kensington district, former residential properties previously used for hospitality were extensively renovated and converted into a serviced apartment offering with 70 units across two properties, to meet local demand.
Aroundtown plans to further develop existing properties into mixed-use concepts with serviced apartments in several major German cities. Projects currently in planning or already undergoing conversion include both complete transformations and mixed-use approaches. These projects contribute to the redefinition of urban spaces and strengthen the competitiveness of the properties.
- —Dortmund (Königswall 1): 51 serviced apartments at the main station under conversion, completion summer 2026.
- —Berlin (Karl-Liebknecht-Straße 33): 285 serviced apartments at Alexanderplatz under conversion, completion end of 2026.
- —Frankfurt am Main (Stuttgarter Straße 18): Office property near the main station being converted into 188 serviced apartments, gutting works underway, completion 2027.
- —Berlin (Marburger Straße 12–13): 84 serviced apartments near Ku’damm in development, completion 2027.
Further planned or ongoing conversion projects are located in Dortmund (Hansastraße 95, 134 serviced apartments, completion end of 2026), Hannover (Karl-Wiechert-Allee 18–22, 83 serviced apartments, completion 2027), Berlin (Köpenicker Straße 30, 161 serviced apartments, completion 2027) and Frankfurt am Main (Bleichstraße 64, 86 serviced apartments as a partial conversion, completion 2028). In Athens (11 Themistokleous), a former office building is also being converted into 43 serviced apartments, with completion in the second half of 2026. Projects in Munich, Stuttgart and Essen are in the planning phase. The strategic further development of existing properties through combining new usage concepts with modernisation measures aims to position properties competitively in the long term and to vitalise urban locations through a balanced mix of uses.
