Ljubljana - The Latvian Mogotel Hotel Group will lease The Fuzzy Log and Hotel Central in Ljubljana for 20 years, with the rents for both hotels during this period to amount to a total of EUR 12 million, the Slovenian real estate fund Equinox has announced.

Equinox noted that it had signed the long-term lease contract with the largest hotel chain in the Baltic countries for The Fuzzy Log on Tuesday.

Moreover, the Mogotel Hotel Group also leased Hotel Central from the company IP Central, which is owned by Union Hotels Collection.

According to today's press release, after obtaining relevant licences, both hotels will operate under the world-renowned Ibis Styles brand as part of AccorHotels, the sixth largest hotel chain in the world with more than 5,000 hotels in 95 countries.

"With the signing of the long-term lease agreement and after all the suspensive conditions are met, Equinox will successfully complete the organisational, business and corporate restructuring," the real estate fund said.

The announcement comes after the suspensive conditions for the transfer of management of three hotels in the centre of Ljubljana, including the iconic Grand Hotel Union, by Equinox to Spanish group Grupo Hotusa were fulfilled on Monday.

The Spanish group will manage Grand Hotel Union, Hotel Lev and uHotel for 20 years with the option of two five-year extensions, in a deal that is worth at least EUR 100 million. It took over the management of the hotels on Tuesday.