Kempinski Group announces the acquisition of Augustine Hotel Prague

International

First Acquisition in over 50 years marks a key milestone in the company’s asset heavier business evolution

Kempinski Hotels announces the acquisition of Augustine Hotel, Prague, one of the city’s most historic and prestigious addresses. This wholly owned acquisition marks a significant step in the company’s strategic shift towards an asset-heavier approach to its global portfolio, under the stewardship of Barbara Muckermann, CEO, Kempinski Group. Furthermore, this is the first acquisition for the Group in over 50 years, since the investment in Hotel Vier Jahreszeiten Kempinski Munich in 1970.

Located in historic Malá Strana (Lesser Town) beneath Prague Castle, Augustine Hotel, Prague stands within the walls of the Augustinian Monastery of St. Thomas, a historical site dating back more than 800 years and remains a living, working community of Augustinian monks that preserve a daily routine of worship, work, and study. The property occupies a carefully delineated portion of the historic site, creating an extraordinary dialogue between past and present, maintaining age-old scriptures that hold learnings from centuries of contemplative life.

The acquisition reflects Kempinski’s broader strategic recalibration towards direct investment and ownership of landmark properties to control the guest experience from beginning to end. Barbara Muckermann said, “Kempinski was founded on a simple belief: that hospitality should enable guests to experience the best of The Good Life. Since its origin, Kempinski has defined luxury not as status or formality, but as generosity and joy; curating experiences from the heart of the destination and deriving richness from its culture and communities. As we evolve our business and brand strategy we are bringing this heritage back to life with the modern day traveller in mind.”

“Opportunities to acquire hotels like Augustine Hotel, Prague are exceptionally rare. This investment offered a unique and compelling opportunity to secure a heritage asset in a top-tier European luxury destination while also creating a grand showcase for The Good Life as the future of Kempinski as an ultra luxury brand.”

Strategically placed, Prague ranks among Europe's top five most visited capital cities, with growing demand for luxury hospitality. The city has been at the crossroads of European history, art and ideas for more than a thousand years, blending Gothic, Renaissance, Baroque and modern influences into a remarkably preserved urban landscape. Prague’s Vltava River flows directly through the historic centre and connects to the Elbe River, one of Central Europe’s major waterways, creating year-round tourist demand.

Under Kempinski’s ownership, Augustine Hotel, Prague will operate as a white label, luxury hotel from 1st April, 2026 until late 2026. Kempinski will invest in design-led refurbishment of all rooms and public spaces in line with the Kempinski of the future blueprint whilst remaining focused on preserving the buildings’ architectural integrity and historic character. The hotel will be reflagged as Kempinski in late 2026, focussed on curating The Good Life for guests visiting The Heart of Europe.