Invel and YellowSquare are accelerating their expansion through three new acquisitions in Bologna, Milan and Venice, with a combined investment exceeding €75 million. The joint venture aims to strengthen its hybrid hospitality platform across Italy and reach approximately 3,300 beds. Moreover, the new projects build on a strategic partnership launched in January 2025, which targets €200 million in investments to acquire, develop and operate properties in Italy and major Southern European cities.
In Bologna, Invel has acquired a property on Via Montebello. The project will transform around 5,000 square metres into a mixed-use development by the end of 2027. In addition to accommodation, the complex will feature coworking areas, staff housing and food and beverage outlets. Shared spaces will also welcome guests and local residents.
Meanwhile, the Milan acquisition concerns a property of approximately 6,000 square metres on Via Melchiorre Gioia. The opening is scheduled for 2028. In Venice, the joint venture has acquired an asset of around 7,000 square metres in Marghera. The development will combine accommodation, food and beverage facilities, coworking spaces and event areas.
Furthermore, the expansion includes a long-term lease agreement for the future conversion of Naples’ historic Zecca building. Construction has already started in Bologna and Naples. Work in Milan and Venice should begin shortly.
In April, UniCredit granted €65 million in financing to Yellow. Invel fully subscribed the alternative investment fund, which Castello SGR manages.
YellowSquare currently operates around 1,200 beds in Rome, Milan, Florence and Athens. In 2025, YellowSquare Europe recorded €1.9 million in sales revenue. EBITDA reached €151,000, while net profit totalled €230,000.
Looking ahead, confirmed bookings for Italian properties exceed the previous year’s level by approximately 6%. Including Athens, the group expects annual revenue growth of around 24%. These results support the ongoing YellowSquare expansion in Italy and its wider development strategy.
