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Usedom Palace Closes After 125 Years, Will Be Converted Into 21 Apartments

Worsening hotel economics prompted an interior conversion that keeps the historic façade.

Overview

  • The five-star hotel in Zinnowitz ended operations on November 30, 2025, concluding a 125-year run.
  • Owner Priedom Grundbesitz GmbH begins interior work in December to create 21 units, with completion targeted by spring 2026.
  • Management cites deteriorating operating results in a tough market as the reason for shutting the luxury property.
  • The exterior and classic architectural character will be preserved while the interior is repurposed for private or holiday use.
  • About 20 staff members have new jobs or strong prospects, and industry leaders note the island is losing one of its two five-star hotels.