Venice film festival favourite to be restored under UAE–Italian partnership backed by institutional investors
One of Europe’s most iconic hotels, famed for hosting film stars during the Venice Film Festival and immortalised in Death in Venice, is set to return to the international stage after more than 15 years of closure.
A €200 million restoration of the Grand Hôtel des Bains on the Lido di Venezia will now go ahead following a deal between Italian investment manager COIMA and Abu Dhabi-based Eagle Hills, backed by a new agreement with lenders to acquire the hotel’s legacy debt.
The hotel, which opened in 1900 and once attracted the likes of Thomas Mann, Sergei Diaghilev and other Hollywood royalty, has stood empty since 2010.
Under the plans, it will be transformed into a modern luxury resort while preserving its Belle Époque grandeur and cultural associations with European literature and cinema.
The project will be financed through the newly formed COIMA Des Bains Fund, backed jointly by the COIMA ESG City Impact Fund and Eagle Hills, marking Eagle Hills’ first investment in Italy and signalling confidence in the country’s long-term tourism sector.
“This is more than a restoration – it is a revival of European legacy through modern excellence,” Mohamed Alabbar, founder of Eagle Hills and Emaar Properties, said.
“Venice has always been a bridge between worlds, and we are proud to be part of its future, bringing our experience in luxury hospitality to one of the most symbolic hotels on the continent.”
The fund will support both the hotel’s redevelopment and improvements to the beachfront, park and public realm. COIMA and Eagle Hills are expected to begin discussions with local authorities to finalise the restoration programme. Some external works have already begun.
Manfredi Catella, CEO of COIMA, said the deal was strategically significant and culturally important, adding: “This first partnership with Eagle Hills, following an extensive exploration of investment opportunities, represents an important step forward and a meaningful sign of the strengthening relationship between Italy and the United Arab Emirates, following the meeting between Italy’s Prime Minister Giorgia Meloni and His Highness Sheikh Mohamed bin Zayed Al Nahyan.
“The Grand Hôtel Des Bains is a symbol of Venice recognised around the world and a treasured part of Italy’s cultural heritage. We will promptly begin working with Venice’s public institutions to put a programme in place that restores the Des Bains to its rightful place back on the global tourism map.”
The debt transaction involves the acquisition of loans with a nominal value of €54 million held by Intesa Sanpaolo and Altea SPV — a securitisation vehicle tied to debt previously held by UniCredit and managed by CRC and Prelios Credit Servicing.
The move also expands Eagle Hills’ footprint in Europe, where it now holds a portfolio of over 30 hospitality assets, particularly across the Adriatic coast. It follows the company’s high-profile restoration of the Bristol Hotel in Belgrade and builds on projects in Croatia and Albania. Worldwide, Eagle Hills operates in 12 countries and manages more than 35 luxury hotels.
In a joint statement, the partners said they may open the Des Bains Fund to other institutional and professional investors, with the long-term aim of regenerating the wider Lido area — home to the Venice Film Festival.
The COIMA ESG City Impact Fund, Italy’s largest national urban regeneration fund, includes backers such as Cassa Forense, ENPAM, Inarcassa, Cassa dei Commercialisti, Intesa Sanpaolo, Compagnia di San Paolo, Fondazione Padova e Rovigo, Fondo Pensione Monte dei Paschi di Siena and Fideuram Vita. It has previously supported major regeneration schemes including the Porta Romana Railway Yard and the 2026 Winter Olympics Athletes’ Village in Milan.
The project also features a minority investment from sustainability entrepreneur Federico Marchetti, founder of YOOX Net-A-Porter Group, via his investment company Mavis.
The Grand Hôtel des Bains originally opened with 180 rooms as a luxurious seaside retreat for Europe’s elite. It rose to international cultural prominence after inspiring Mann’s 1912 novella Death in Venice and serving as the filming location for Luchino Visconti’s 1971 adaptation. It also featured in The English Patient and served as a glamorous base for actors, directors and producers during the Venice Film Festival for decades.
The hotel has remained closed since a failed 2010 attempt by Est Capital to convert the property into apartments. A perimeter fence has surrounded the abandoned site for over a decade.
Main image: Coima.
