O-STA

Kempinski Palace Portorož announces EUR 6.5 million hotel renovation investment cycle

Portorož, Slovenia - 14 February 2022: While the seaside destination Portorož enjoys a peaceful time before the spring and summer season and with the majority of the hotels closed, the iconic Kempinski Palace Portorož is set for a renovation. MK Group, the owning company of the iconic hotel, is to invest an additional 6.5 million over the course of the next two years.

The initial EUR 3.5 million investment will be directed towards the renovation of the modern part of the hotel and is expected to finish in late spring. It will completely redesign all 78 rooms and suites in the modern part of the hotel, focusing on a minimalistic modern look with touches of the destination. Emphasis will be placed on room inventory and, especially, IT infrastructure, such as various system changes, software and hardware updates, Wi-Fi development and conference centre adaptation to the desires of the new-age meeting organiser. The world of saunas, the fitness room and the wellness area will also be upgraded, expanded and redesigned.

In the next two years, MK Group is to invest an additional EUR 3 million for the renovation of the Palace part of the hotel and the areas not included in this year's renovation phase.

Kai Behrens, General Manager of the hotel, comments, "The renovation is directed in the areas about which we received comments from the guests in the past and are tailor-made to drive guest satisfaction, hotel quality even further and, consequently, higher revenue for the hotel." The hotel was labelled 'Best Hotel in Slovenia' for the past few years by independent awards organisations and has recently also won the award for the 'Best Meetings Hotel' in the country in one of the categories, and further investments mean "We will not sleep on our awards. We never hide that we do not want to be the best only in Slovenia but in the wider region, and the renovation enables us to be that. We are lucky that our owning company sees the same potential for further growth and business expansion as we do," ends Behrens.

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About Kempinski Palace Portorož: The luxury hotel Kempinski Palace Portorož, opened in 2008, is situated directly on the Adriatic coast of Slovenia, not far from the Medieval Pearl, the town of Piran, and less than two hours from Venice. The five-star superior hotel embodies a unique combination of traditional and contemporary design, offering 182 superb rooms and suites, a 1,500 sq m (16,145.9 sq ft) spa, an innovative food and beverage concept in all its restaurants and bars, six conference facilities with daylight, a unique, historic ballroom and a private park.

About Kempinski: Created in 1897, Kempinski Hotels is Europe's oldest luxury hotel group. Kempinski's rich heritage of impeccable personal service and superb hospitality is complemented by the exclusivity and individuality of its properties. Kempinski now comprises a portfolio of 77 five-star hotels and residences in 34 countries and continues to add new properties in Europe, the Middle East, Africa, Asia and the Americas. Each one reflects the strength and success of the Kempinski brand without losing sight of its heritage. The portfolio comprises historic landmark properties, award-winning urban lifestyle hotels, outstanding resorts and prestigious residences. Each one imbues the quality guests have come to expect from Kempinski while embracing the cultural traditions of its location. Kempinski is a founding member of the Global Hotel Alliance (GHA), the world's largest alliance of independent hotel brands.

About MK Group: With majority and minority ownership of 15 hotels in Serbia, Slovenia, Croatia and Montenegro, Portorož Airport and the golf course in Savudrija, MK Group is among regional leaders in tourism. Of particular importance for the tourism division is the cooperation with prestigious international brands such as Kempinski and Sheraton. In addition to its contribution to the hotel industry development, MK Group contributes to the development of the destinations where it operates. By doing so, it also supports the development of the local community and economy.

www.kempinski.com/portoroz · www.discoveryloyalty.com

Press Contact:

Petra Zierer · Cluster Public Relations Manager

Kempinski Palace Portorož · Obala 45 · 6320 Portorož · Slovenia

kempinski.com/portoroz · Kempinski - Hoteliers since 1897

T +386 (0) 5 692 7666 · M +386 (0) 40 457 171

petra.zierer@kempinski.com