Kempinski Group announces first acquisition in more than 50 years: Augustine Hotel, Prague | News
Kempinski Hotels, Europe’s oldest luxury hospitality group, today announces the acquisition of Augustine Hotel, Prague, one of the city’s most historic and prestigious addresses. This wholly owned acquisition marks an important step in the company’s strategic shift towards a more asset-centric approach to its global portfolio, led by Barbara Muckermann, CEO of Kempinski Group. Furthermore, this is the first acquisition for the Group in more than 50 years, since the investment in Hotel Vier Jahreszeiten Kempinski Munich in 1970.
Located in the historic Malá Strana (Little Side) below Prague Castle, Augustine Hotel, Prague stands within the walls of the Augustinian Monastery of St. Thomas, a historic site that dates back more than 800 years and remains a living, working community of Augustinian monks maintaining a daily routine of worship, work and study. The property occupies a carefully defined part of the historic site and creates an extraordinary dialogue between past and present, preserving ancient scriptures that contain lessons from centuries of contemplative living.
The acquisition reflects Kempinski’s broader strategic recalibration towards direct investment and ownership of historic properties to control the guest experience from start to finish. Barbara Muckermann said: “Kempinski is founded on a simple belief: that hospitality should enable guests to experience the best of The Good Life. Since its origins, 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 traveler in mind.”
“Opportunities to acquire hotels such as the Augustine Hotel in Prague are exceptionally rare. This investment provided a unique and compelling opportunity to secure heritage in a European luxury destination while creating a grand showcase for The Good Life as the future of Kempinski as an ultra-luxury brand.”
Augustine Hotel, Prague has 101 rooms, including 20 suites, many of which feature original vaulted ceilings and wooden beams, preserving the authentic structure of the former monks’ living quarters; specialty restaurants, including two different bar concepts, including The Refectory Bar, formerly the monastery’s former dining room; a spa and fitness center; The Monastic Library, a library hall with a collection spanning centuries of theological and scientific thought; more than 400 m² of meeting space; and more than 650 m² of outdoor terraces and gardens. The property combines carefully preserved architectural heritage with modern five-star service standards and has long attracted an international clientele including heads of state, cultural figures and business leaders.
Barbara further said: “Rather than pursuing uniformity, we believe that the strength of the Kempinski brand lies in its collection of highly individual properties, many of which are historic, architectural landmarks and resonate deeply with the culture and community of the destination. As a legendary hotel recognized for its deep history, cultural significance and architectural heritage, Augustine Hotel, Prague is not only an ideal addition to Kempinski’s heritage-focused, global portfolio, it will also be the first truly physical and experiential representation becoming the Kempinski of the future We look forward to welcoming this iconic hotel to the Kempinski family as a standard bearer for the brand’s continued leadership in luxury hospitality.”
Rasha Lababidi, Chief Product & Experience Officer, Kempinski Group, said: “As traditional luxury still operates within set parameters, our strategy is to take a bold, purposeful approach – integrating products and experiences with the cultural depth and character of every destination we operate in. Augustine Hotel, Prague marks a defining moment in the way we bring Kempinski’s next chapter to life. It is an exciting opportunity to reimagine a truly historic icon in a way that is relevant to modern travelers.”
“As part of a carefully curated portfolio of legendary hotels and hyper-local immersions, Augustine Hotel, Prague will serve as an expression of our future blueprint – across design, F&B, wellness and guest experiences on and off-site. With direct ownership, we can shape that vision with precision and seamlessly translate our brand to every touchpoint of the guest journey.”
Strategically located, Prague is among the top five most visited capitals in Europe, with a growing demand for luxury hospitality. The city has been at the crossroads of European history, art and ideas for more than a thousand years, combining Gothic, Renaissance, Baroque and modern influences into a remarkably preserved urban landscape. The Vltava River in Prague flows directly through the historic center and connects to the Elbe River, one of Central Europe’s most important waterways, creating a year-round tourist demand.
Under Kempinski’s ownership, the Augustine Hotel, Prague will operate as a white label, luxury hotel from April 1, 2026 until the end of 2026. Kempinski will invest in a design-led renovation of all rooms and public areas in line with the Kempinski of the future blueprint, while remaining focused on maintaining the architectural integrity and historic character of the buildings. The hotel will be renamed Kempinski at the end of 2026, with a focus on curating The Good Life for guests visiting The Heart of Europe.
