H.I.G. Capital Closes $1.6B Recapitalization of Hospitality and Logistics Platforms Across Europe

H.I.G. Capital, the Miami-based global alternative investment firm, has completed a $1.6 billion recapitalization and refinancing of two of its European real estate platforms — Ella Resorts and OB Streem — through a consortium of European banks, the firm announced March 25, 2026. The transactions establish what H.I.G. describes as an efficient capital structure to support continued growth, including asset refurbishments, infrastructure expansion, and new acquisitions across both platforms.

Deal Structure and Financing

The refinancings were led and underwritten by Bank of Piraeus, with participation from additional European financial institutions. The $1.6 billion figure represents the combined recapitalization value bundling both platforms; H.I.G. did not disclose individual loan amounts, loan terms, interest rates, or property-level financial breakdowns for either platform. H.I.G. Realty affiliates serve as the equity sponsor across both platforms.

The transactions reflect a recapitalization structure, a financing mechanism that restructures a platform's capital mix — in this case, enabling H.I.G. to support growth initiatives across both platforms. The involvement of a multi-bank syndicate signals institutional lender confidence in the long-term growth prospects of both platforms, as described by H.I.G.

Ella Resorts: Hospitality Real Estate Expansion Across the Mediterranean

Ella Resorts is H.I.G. Realty's hospitality real estate platform focused on premium resort destinations across the Mediterranean. The portfolio currently comprises approximately 4,400 keys, with a stated target of expanding to 10,000 rooms. The platform has an active acquisition pipeline spanning Italy, Greece, and Spain, and the recapitalization proceeds are intended to fund ongoing refurbishment and repositioning of existing resort assets alongside new acquisitions in those markets.

H.I.G. did not disclose the names or addresses of individual resort properties within the Ella portfolio, occupancy rates, revenue metrics, or cap rates.

OB Streem: Logistics Infrastructure and Real Estate

OB Streem is described as a fully integrated logistics platform managing more than 400,000 square meters — approximately 4.3 million square feet — of warehousing space across key European trade corridors. The platform's offerings include cold storage, ambient storage, and container depot storage, as well as freight forwarding and transportation services. H.I.G. also noted a prospective pier terminal as part of Streem's planned infrastructure expansion.

Proceeds from the recapitalization are earmarked for expanding Streem's logistics infrastructure network and supporting new acquisitions. H.I.G. did not identify the specific trade corridors, facility locations, or individual asset addresses within the Streem portfolio.

Executive Commentary and Strategic Rationale

Riccardo Dallolio, Managing Director and Head of H.I.G. Realty in Europe, said the transactions represent "an important milestone for two of H.I.G. Realty Europe's key platforms," adding that the firm remains "focused on acquiring and scaling real estate platforms in sectors with strong fundamentals, leveraging our combined real estate and private equity expertise."

Stelios Theodosiou, Managing Director at H.I.G. Realty in Europe, said both platforms are "entering a new phase of development," noting that "Streem continues to strengthen its position and dominance in the local market, while Ella is expanding internationally into Italy and Spain." Theodosiou added that "strong support from institutional lenders reflects the quality of the platforms we have built, and enables us to continue investing in our assets and expanding in a capital-efficient way."

About H.I.G. Capital

H.I.G. Capital manages $74 billion in capital under management and has invested in more than 400 companies since its founding in 1993. Its current portfolio includes more than 100 companies with combined sales exceeding $53 billion. The firm is headquartered in Miami and operates offices across the United States and internationally, including in London, where its European realty team is based.

Outlook for H.I.G. Realty's European Platforms

With the recapitalization closed, H.I.G. Realty indicated both platforms are positioned for active growth. Ella Resorts is expected to pursue acquisitions in Italy and Spain as it works toward its 10,000-room target, while OB Streem is focused on expanding its logistics infrastructure footprint, including the development of a prospective pier terminal. The firm did not provide a timeline for either expansion initiative or disclose anticipated transaction volumes.