Kempinski opens a new chapter with its first acquisition in over 50 years and an expanding focus on residences

Kempinski Hotels has taken a notable strategic step with its first hotel acquisition in more than 50 years, underlining a broader shift in how the group approaches growth and ownership. The company announced that it had acquired Augustine Hotel Prague in a wholly owned transaction, its first such investment since Hotel Vier Jahreszeiten Kempinski Munich in 1970.

The move signals a clear evolution under CEO Barbara Muckermann, with a stronger emphasis on direct ownership of landmark properties. Kempinski is increasingly positioning itself to shape the guest experience more holistically – from design and service to food and beverage and wellness – ather than relying primarily on management agreements.

The newly acquired Prague property is one of the Czech capital’s most distinctive luxury addresses. Located in Malá Strana beneath Prague Castle, the hotel is housed within the Augustinian Monastery of St. Thomas, a historic site dating back more than 800 years. The property has 101 rooms, including 20 suites, and combines preserved architectural heritage with contemporary five-star hospitality.

Under Kempinski’s ownership, the hotel is operating as a white-label luxury property until late 2026. During that period, Kempinski plans a design-led refurbishment of rooms and public spaces while preserving the building’s historic character, before reflagging it as a Kempinski later this year.

Alongside this shift in ownership, Kempinski is also building its wider residences pipeline. Current projects include Kempinski Residences Bayil Bay in Baku, Artlife Kempinski Residences Yerevan and Kempinski Residences Balmumcu Istanbul, pointing to a parallel focus on residential growth alongside its hotel portfolio. 

At the same time, the group continues to expand its hotel pipeline globally. Upcoming openings include Kempinski Saigon River in Ho Chi Minh City, scheduled for 2027, as well as 8 Conlay in Kuala Lumpur, a market that has seen a notable wave of new luxury hotel developments in recent years. Further growth is also underway across the Middle East, where Kempinski continues to advance multiple projects.