Brown Hotels grew from a Tel Aviv boutique to Greece, then sold its Israeli and Greek operations to Israel Canada Hotels in a NIS 100M deal. See the dates, the terms and what happened next.
Part of: Who Owns the Israeli Hotel Sector
Brown Hotels is a Tel Aviv boutique hotel group founded in 2010 by Leon Avigad and Nitzan Perry that expanded into Greece and Croatia before selling its Israeli and Greek operations to Israel Canada Hotels. The September 2024 agreement valued the Israeli business at NIS 100 million, including NIS 27 million in cash, according to Globes. Before the deal Brown ran 25 hotels, 22 of them in Israel, CoStar reported.
How did Brown Hotels start in Tel Aviv?
Leon Avigad and Nitzan Perry created Brown Hotels in Tel Aviv in 2010, opening Brown TLV as the first property, according to HOTELS magazine in October 2021. Avigad told the magazine he took a large loan to buy that first building.
Sources disagree on the start date. The Times of Israel says Avigad incorporated Brown with Perry in 2007, a Hotel Designs article says 2003, and CEOWORLD says Avigad founded Leopard Hospitality in 2005 before opening Brown TLV. Nir Waizman was a third co-owner, The Jerusalem Post reported, and the insurer Hachshara held 30% of Brown, according to CoStar.
The Tel Aviv portfolio included Brown TLV, Brown Beach House, Poli House, Dave West and The Lighthouse, Hospitality Net reported, with Villa Brown Jerusalem and Villa Ba'Moshava in Jerusalem and a Brown Beach House in Trogir, Croatia.
How did Brown Hotels expand into Greece?
Brown Hotels expanded into Greece with urban hotels in Athens before moving to resort properties, according to Jewish Insider in June 2022. The article counted five operating Athens hotels, most in a less desirable part of the city, and said Brown planned about a dozen more.
Avigad moved his family to Athens to run the push, HOTELS magazine reported. He said in 2021 that Brown would have 15 hotels in Greece, one in Croatia, three in Germany and a couple in Cyprus. None of the 2024 reporting Olam reviewed shows Brown hotels in Germany or Cyprus, and Olam found no source for Hungary.
The 2024 portfolio counts also differ. Globes reported eight Greek hotels with 1,067 rooms held under lease, while CoStar listed two in Greece and one in Croatia, all three owned.
Why did Brown Hotels sell to Israel Canada?
Brown Hotels sold its operations to Israel Canada Hotels after the war in Gaza cut tourism, CoStar reported on September 20, 2024. Joseph Fischer, owner of the consultancy Vision International, told CoStar that Brown lost most of its income when the war started and that about 20 of its hotels in Israel sat on long-term leases.
Israel Canada Hotels, 68% owned by the TASE-listed real estate firm Israel Canada, signed two non-binding memorandums of understanding, Globes reported on September 19, 2024. Israel Canada is controlled by Barak Rosen and Asi Touchmair.
| Part of the deal | Terms reported | Source |
|---|---|---|
| Greece | No payment, assumption of leases on 8 hotels with 1,067 rooms | Globes |
| Israel | NIS 100 million, including NIS 27 million in cash and the rest as debt, for 10 hotels with 779 rooms, the Brown and Lighthouse brands, online activities and the loyalty club | Globes |
| Combined buyer portfolio | About 3,600 rooms | CoStar |
Hospitality Investor reported on January 24, 2025 that Brown Hotels filed a debt settlement proposal in court under which Israel Canada would buy its operations in Israel and the Greek hotels.
What happened to Brown Hotels after the sale?
Israel Canada Hotels outlined an expanded Greek growth plan after the Brown acquisition, Greek Travel Pages reported on December 9, 2025. Brown Hotels Greece is led by CEO Spiros Ioannou, and Avigad remains actively involved in the new structure, the report said.
The same report listed Villa Brown Ermou growing from 16 to 51 rooms, Play Theatrou Athens doubling from 50 to 100 rooms with an opening planned for September 2026, and a new 40-room five-star hotel on Lykourgou Street expected in early 2027.
What does the Brown Hotels story show about boutique chains?
The Brown Hotels story shows that a leased, lifestyle-led boutique model can scale fast and still fail to absorb a demand shock. Fischer's account to CoStar is that leases and renovation costs outran weekday income once international tourism stopped, and that Brown's Greek hotels held up better than its Israeli ones.
Anyone sizing up a hotel operator should check how many properties it owns versus leases, and how much revenue depends on one country. For comparison, see the Israel-only chain in Olam's Isrotel profile and the international operator in the Fattal Hotels profile.
Brown Hotels FAQ
What is Brown Hotels?
Brown Hotels is a Tel Aviv design-led boutique hotel group that grew into Greece and Croatia. Before the 2024 deal it ran 25 hotels, 22 of them in Israel, according to CoStar.
Who founded Brown Hotels?
Leon Avigad and Nitzan Perry created Brown Hotels in Tel Aviv in 2010, according to HOTELS magazine. Nir Waizman was a third co-owner, according to The Jerusalem Post.
Who owns Brown Hotels now?
Israel Canada Hotels, which is 68% owned by Israel Canada, agreed in 2024 to acquire Brown's operations in Israel and Greece, according to Globes. Greek Travel Pages described Israel Canada Hotels as the owner of the Brown portfolio in Greece in December 2025.
Is Brown Hotels publicly listed?
No. Israel Canada Hotels is not publicly traded, according to CoStar, although its parent Israel Canada is listed on the Tel Aviv Stock Exchange.
How much did Israel Canada pay for Brown Hotels?
Israel Canada Hotels agreed to pay NIS 100 million for the Israeli business, including NIS 27 million in cash, and to take over the Greek leases at no payment, according to Globes.
Index: this is the Brown Hotels profile in the Israeli Hotels cluster. Capstone: Who Owns the Israeli Hotel Sector. Sister operator profiles: Fattal, Isrotel and Dan.
How we report: Olam stories draw on public filings, company disclosures and named sources, checked by our editors. Read our methodology · Corrections
