26 July 2016 – Expansión
The founding family of Prisa will use the funds (received from the sale) to reduce its debt with the banks and repay a loan from Banco Santander.
HI Partners is pushing ahead in its offsensive to become one of the largest owners of hotel assets in Spain. The subsidiary of Banco Sabadell has acquired the Hotel Jardín Tropical, located in Costa de Adeje, in the south of Tenerife, from the Polanco family, founder of Prisa.
This is a complex operation that, on the one hand, will allow the repayment of a €20 million loan that the hotel holds with Banco Santander. In parallel, the Polanco family will reduce the bank debt that it holds with several financial institutions, according to sources close to the transaction. This is HI Partners’ second acquisition in the Canary Islands, after it purchased Hotel IFA Catarina in Gran Canaria a few days ago, from the Lopeson group.
Through the investor holding company Timón, the Polanco family controls several hotels, which it operates through My Way. This company will continue to manage Hotel Jardín Tropical, which has 419 rooms and has a 4-star rating. The hotel, constructed around thirty years ago and located on the beach front, was designed by the architect Melvin Villarroel, known for integrating architecture with nature. Thus, the hotel has 12,000 sqm of sub-tropical vegetation and a saltwater swimming pool.
The aim of HI Partners is to renew all of the rooms to modernise the tourist complex, located in Spain’s fourth most important destination by RevPar, the indicator used to measure the profitability of hotel assets. The company led by Alejandro Hernández-Puértolas now has 26 hotels in its portfolio and manages €850 million of Banco Sabadell’s hotel debt.
Original story: Expansión (by S. Saborit)
Translation: Carmel Drake