The 65-room hotel was closed for renovation immediately after the new owner took over on Tuesday, as Piščanc wants to start with the extensive renovation as soon as possible, the newspaper Primorske Novice reported on Wednesday.

After the renovation, the hotel will get a new name and four stars. It is expected to welcome first guests in May 2020.

According to Piščanc, the hotel will have a Mediterranean feel after the refurbishment.

The restaurant too will need to be closed for at least a month to get new installations.

The new owner wishes to attract high-end guests. "It's a huge financial pressure. We've mostly gotten a loan, so we'll have to realise our business plans, because banks will claim what's theirs," Piščanc, who is also setting up a luxury pension in the near-by village of Osp, told Primorske Novice.

Bojan Petan of DZS told the paper that the group was "very happy" with the deal, as Hotel Koper had been sold to the best bidder.

DZS started selling the hotel in 2015. Initially, the Koper municipality wanted to buy it for EUR 2.7 million and has already transferred the first instalment or 10% of the total price to DZS but then the two sides could not reach an agreement on who will pay the tax.

Subsequently, Piščanc offered EUR 3.1 million for the hotel, while the dispute between the municipality and DZS ended with a court settlement this spring.