• Transaction / Assets
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Meliá Sells Hotel In Mallorca For €24M

21 October 2015 – Expansión

Meliá Hotels International has closed an agreement to sell the 875-room Calas de Mallorca complex, in Palma de Mallorca, for €23.6 million, according to a report filed by the chain with Spain’s National Securities Market Commission (CNMV).

The complex will continue to be operated by Meliá following the sale, under a lease agreement with a variable rental. The identity of the buyer has not been revealed.

The complex is located in an area bordered by cliffs, between the beaches of Cala Domingos and Cala Antena and comprises five buildings (Mastines, Chihuaguas, Balmoral and two blocks of family rooms in the Balmoral gardens).

The hotel chain, owned by the Escarrer family, said that the operation, signed yesterday, represents a “significant milestone” in the achievement of the company’s strategic plan to focus on the reduction of debt through the rotation of assets.

As at 30 June 2015, the hotels and real estate assets included on Meliá Hotels International’s balance sheet were worth €3,555 million, according to the most recent appraisal of the assets, performed by Jones Lang Lasalle.

Meliá Hotels International generated a net profit of €20.3 million during the first half of the year, which represented a three-fold increase compared with 2014.

Original story: Expansión

Translation: Carmel Drake