Credit Suisse Real Estate Fund Hospitality (CS REF Hospitality) has signed an agreement to invest CHF 155 mln (EUR 119 mln) in the development of a five-star hotel and residences project in Davos which will be operated by the Inter Continental Hotel chain.

The fund, which is managed by Credit Suisse Asset Management, has bought the site from Stilli Park AG, which is leasing the hotel under a 20-year rental agreement and will run it in cooperation with InterContinental. Construction of the InterContinental Davos Resort & Spa is scheduled to start in April 2011, with completion expected for November 2013.

The 40-metre high luxury hotel is designed to have 216 guest rooms and suites as well as 38 private apartments. The new flagship property will also house two restaurants, two bars, a spa zone and a conference hall over an area of 21,000 m2.

Also in Switzerland, UBS Global Asset Management has sold a mixed-use property at Bellevueplatz 5, Zurich in a sale-and-leaseback with insurance group Swiss Life. The asset offering of office, retail and residential space in Zurich's central business district recently underwent a $52 mln renovation programme.