YellowSquare and Invel Real Estate power-up platform expansion with four new locations across Italy

YellowSquare, one of Europe’s fastest-growing urban hospitality operators, and Invel Real Estate, a leading player in the real estate private equity market, have accelerated the growth of their joint platform across Italian gateway cities.

New acquisitions in Bologna, Milan and Venice, representing a combined investment in excess of €75 million, are joined by a landmark long-term lease in Naples. Together, the four assets will take the YellowSquare platform to approximately 3,300 beds. Works are already underway in Bologna and Naples, while Milan and Venice are set to follow shortly, marking one of the most significant steps yet in further consolidating YellowSquare’s position as one of Southern Europe’s leading hybrid hospitality platforms.

This growth builds on the strategic joint venture between Invel and YellowSquare, launched in January 2025, which set the foundations for the platform’s ambitious expansion plan. Having grown to approximately 1,200 beds across Rome, Milan, Florence and Athens, YellowSquare has now taken its most significant expansion step to date. This momentum is underpinned by strong operational performance: on-the-books revenues across YellowSquare’s Italian properties are currently running approximately 6% ahead of the same period last year. Including the contribution from YellowSquare Athens, the Group is forecasting year-on-year revenue growth of approximately 24% – reflecting strong demand across both leisure and community-driven hospitality segments.

Bologna — Via Montebello

In Bologna, one of Italy’s most vibrant university and cultural cities, Invel has completed the acquisition of a new asset at Via Montebello, where works have already commenced. The project will contribute to the ongoing regeneration of the surrounding area and will deliver approximately 5,000 sqm. of mixed-use space by the end of 2027. The property will combine accommodation with co-working, staff housing, food and beverage, and community spaces accessible to both guests and locals.

Milan — Via Melchiorre Gioia

Invel has completed the acquisition of a new asset at Via Melchiorre Gioia in Milan, Italy’s largest and most dynamic urban market. The property, spanning approximately 6,000 sqm., is expected to open in 2028. The asset will be developed and operated under the YellowSquare concept, reinforcing the platform’s presence in a city where demand for modern, design-led hospitality and flexible accommodation continues to outpace supply.

Venice — Via Fratelli Bandiera

Invel has completed the acquisition of the former Officine Galileo complex in Via Fratelli Bandiera, Venice Marghera, marking a further milestone in the expansion of the joint platform.

The project spans ca. 7,000 sqm. and will combine accommodation with food and beverage, co-working, event and community spaces designed for both travellers and local residents.

Located at the mainland gateway to Venice, the new YellowSquare will extend the platform into one of Europe’s leading international destinations while contributing to the continued transformation of Marghera into a more connected and vibrant urban district.

Naples — Palazzo della Zecca

YellowSquare has signed a long-term lease agreement for the former Palazzo della Zecca, a landmark heritage asset of significant historical and architectural value located in the Pendino district, in the heart of Naples.

The redevelopment initiative was developed by YellowSquare in collaboration with Naples-based architect Diego Marotta and will transform the ca. 5,000 sqm. property into a contemporary urban piazza featuring accommodation, co-working areas, event spaces and a communal kitchen, with a courtyard and rooftop terrace open to both travellers and the local community.

Fabio Coppola, Founder & Chief Visionary Officer, YellowSquare, said, “People often describe YellowSquare as a hostel brand, but it’s not a simple hostel. For us, hospitality means creating places where people who would never normally meet can share experiences, ideas and opportunities, much like the piazzas that have always anchored Italian cities. Every YellowSquare starts with a building, but our ambition is for it to become part of the social fabric of the city. Together with Invel, we are building much more than a hospitality platform: we are creating a network of contemporary piazzas across Europe.”

Gabriele Magotti, Chief Investment Officer, Invel Real Estate, said, “This announcement reflects the momentum we have built since launching our partnership with YellowSquare and reinforces our conviction in building scalable, vertically integrated platforms at the junction of real estate and operations. Hybrid hospitality is a prime example of this thesis: it is not simply about owning buildings, but backing the right concept and the right team, with a genuine ability to blur the line between travellers and locals. We are building a platform with real scale and genuine operational excellence at its core, and we are thrilled with both the pace of growth and the quality of the assets we are assembling.”

About YellowSquare
Founded by Fabio and Marco Coppola, YellowSquare is an urban hospitality platform that transforms buildings into vibrant social spaces where travellers and local communities connect. YellowSquare is not a simple hostel: its properties combine accommodation with food and beverage, coworking, cultural programming, events and community-driven experiences designed to activate buildings throughout the day. Inspired by the historical role of the Italian piazza, YellowSquare creates places where people can meet, work, learn and experience cities in a more authentic way. The company currently operates properties in Rome, Milan, Florence and Athens and is pursuing an ambitious growth strategy across Southern Europe.

About Invel Real Estate
Founded in 2013 by Chris Papachristophorou, Invel Real Estate is a privately owned private equity real estate firm investing across the capital structure in Southern European markets. Since inception, Invel has deployed €1.7 billion on behalf of leading institutional investors through funds, co-investment structures and separate accounts. The firm’s fully integrated local teams combine hands-on asset management with proven off-market sourcing capabilities. Invel has offices in Milan, Athens and Limassol.

For further information, please contact:

YellowSquare
Antonio Pirozzi +39 339 5238132
con Davide Ficarola
info@pscomunicazione.it

Invel Real Estate
SEC Newgate UK
Henry Columbine
henry.columbine@secnewgate.co.uk
M: +44 (0)7917 839 251