The Social Hub secures €80 million refinancing for Italian properties in milestone first deal with BNP Paribas

Amsterdam, Netherlands (June 11, 2025): The Social Hub has completed the €80 million refinancing of two of its Italian properties, marking its first financing agreement with international bank BNP Paribas.

The refinancing package covers The Social Hub Lavagnini in Florence and The Social Hub Bologna, two of the group's flagship Italian assets. The transaction frees up cash, which The Social Hub will deploy to support its European growth strategy, including acquisitions, property enhancements, and the continued rollout of its premiumisation strategy for elevating the offerings of its portfolio of hotels across Europe.

BNP Paribas Italy acted as sole arranger and underwriter for the transaction. Chiomenti served as lender counsel and Clifford Chance advised The Social Hub.

Denis Montrelay, Chief Financial Officer at The Social Hub, said the deal represents an important milestone for the group, and the next step in the broader consolidation of The Social Hub’s Italian loan portfolio. The Social Hub also sees the deal as significant given BNP Paribas’ global reach.  

He said: "This milestone deal strengthens our balance sheet and releases significant capital to accelerate growth at an important time for The Social Hub as we prepare for further expansion across Europe, as well as the improvements throughout our existing portfolio. Securing long-term debt in a volatile interest rate environment further de-risks the liability side of our balance sheet. It also establishes BNP Paribas as a key partner as we expand across Europe.”

The loan consolidates the financing of two established assets and forms part of a broader capital optimisation strategy. In 2023, The Social Hub raised €566 million of debt refinancing 13 properties across Europe, and it expects to further consolidate its loan portfolio in the coming years. 

The Social Hub’s purpose driven model and strong focus on ESG targets were a significant factor in BNP’s interest in the deal. 

B Corp certified The Social Hub's pioneering hybrid hospitality business model, combining hotel accommodation, student housing, coworking, food & beverage, and events spaces, has proven resilient through market cycles. During the COVID-19 pandemic, the company's hybrid model maintained high occupancy while traditional hotels struggled.

Montrelay added: "There was considerable interest in this refinancing of both local Italian as well as pan European lenders, and BNP Paribas’s interest in our purpose-driven model was a significant factor for us. We are committed to responsible innovation and to embedding sustainability across our operations. Our hybrid hospitality platform offers lenders exposure to a resilient and stable cash flow in a growing market. This is the next step in our journey which has taken us from transitioning from a start-up, to a scale up, and to a mature institutional-grade platform, and this refinancing reflects our progress on that trajectory."

Umberto Di Giorgio, Head of Real Estate Capital Markets Italy – BNP Paribas, concluded: “We are proud to have supported The Social Hub in this first deal in EMEA, allowing to start a relationship with a Group whose focus on sustainability features (on all the 3 dimensions of ESG) fits very well with the strategy and positioning of BNP Paribas group. The Social Hub’s unique hybrid business model, and the underlying quality of its portfolio and of the experience offered to its different type of guests (students, travellers, coworkers, etc.), showcased a strong resiliency and attractiveness of this asset class, which more in general is still featured by a material imbalance between demand and supply."

The freed-up capital will also support investment in enhancing energy efficiency and premiumising the guest experience across its portfolio as The Social Hub continues to evolve.