The Dormero hotel group is expanding its presence in the Austrian market. As of 15 November 2026, the company will take over the renowned Palais Hotel in Villach. Hotel operations will continue seamlessly during the transition. In future, the historic property will trade under the name Dormero BoHo Villach.
Investor Dr Ben Dahlheim is acting as the buyer of the property. With this acquisition, Dormero records its first location in the federal state of Carinthia and expands its portfolio in the Republic of Austria to a total of eight properties. The city of Villach benefits from its convenient transport links in the border triangle with short routes to Italy and Slovenia, as well as its setting between Lake Faak, Lake Ossiach, and the alpine scenery.
Historic building fabric on Villach's main square
The Palais Hotel looks back on a long history. The building originally dates from the 16th century and is situated in a direct city centre location on the pedestrian zone of Villach's main square. The traditional establishment features around 70 rooms and suites, combining the historic fabric with the requirements of contemporary hotel operations.
Michael-Hartmut Berger, Chief Commercial Officer of Dormero, highlighted the special character of the property. He noted that Villach offers a combination of history and scenic appeal. The group's objective is to operate hotels with their own identity and history, making entry into the Carinthian market a significant milestone for the company.
Strategic expansion in Austria
For the hotel chain, the property in Villach marks another step in its long-term growth strategy. Chief Executive Officer Manuela Halm emphasised that Austria remains a strategic core market for the portfolio. The market entry into Carinthia underlines this direction.
Dormero is already planning subsequent steps in the Austrian market. Future developments are focused in particular on locations in Lower Austria, Vorarlberg, and the state of Salzburg, where company management has identified further development potential for the brand.
