Transaction / Assets Seller Buyer € MM
Hispania Buys Hotel Selomar In Benidorm For €16M
20 June 2017 – MB Noticias
Yesterday, Hispania announced the purchase of Hotel Selomar in Benidorm. It is one of the city’s iconic complexes but is in a very bad state after more than 10 years of disrepair and the spectacular fire that almost destroyed it. With 245 rooms in total and located on the Levante beach front, the hotel has been sold for approximately €16 million. Following the acquisition, Hispania has become the largest hotel owner in Spain. It now owns 11,021 rooms in 38 hotels, according to a statement issued by the company.
As part of the strategy to acquire the hotel, Hispania will invest between €17 million and €19 million on its complete renovation. The total investment, including the repositioning, amounts to between €33 million and €35 million. The Barceló Group will be the hotel operator through a lease contract with a fixed and variable component, under the framework agreement that it holds with Hispania.
Benidorm is one of the most established tourist destinations in Spain and has some of the best beaches in the whole Mediterranean. According to Hispania, Benidorm is one of the few year-round destinations in mainland Spain, which along with its significant international tourism component, makes it one of the most attractive destinations for investment in Spain.
“With our entry into the market in Benidorm, Hispania is accessing a strategic market in Spain, given its stable occupancy rate during the course of the year and its high degree of exposure to European tourists. This operation shows, once again, Hispania’s capacity to generate value from individual operations at the same time as we increase our presence in the Mediterranean”, said Concha Osácar, CEO of Hispania.
Original story: MB Noticias
Translation: Carmel Drake