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Melia to Incorporate 30 New Hotels This Year

22/01/2014 – Expansion

Meliá Hotels International, chain led by the Escarrer family, aims at reaching the same earnings as the last year and open 30 new hotels – each every two weeks – (…) out of Spain and in 80% on the management contracts.

By doing so, (…) the chain would start the year 2015 with a hundred of signed new projects, oscilating around 450 establishments.

In regard to the distribution, (…) Europe and the Middle East will dominate 55% of the incorporations, South America and the Caribbean about 30% and Asia the remaining 15%, new hotels will be mostly found in the big cities. (…).

Alike previous years, in 2014, about 4% of the revenues will be intended for hotel maintenance and product improvement. Simultanously, the company will carry on with its assets rotation strategy of annual divestments between €100 and €150 million. (…) Melia wishes to keep only 17% of its real estate portfolio.

Also, Escarrer begs the Government to reform the Public Administration and arrive with a comprehensive plan for the tourism sector (…) to renew places like Torremolinos and El Puerto de la Cruz. (…).

Original article: Expansión (Yovanna Blanco)

Translation: AURA REE