Tag: aparthotels

The Vilella Family Puts its ‘Helios Hotels’ Portfolio up for Sale for €110M

9 January 2018 – Eje Prime

The Spanish hotel sector is starting 2018 in the same way that it closed 2017, with negotiations for the sale of portfolios. Whilst during the final days of last year, the sector witnessed the sale of HI Partners, which was sold by Sabadell to Blackstone, and the acquisition of all of the shares in the chain Bay by Hispania, January is starting with the placement on the market of Helios Hotels, the chain owned by the Catalan Vilella family and Mehdi Hamila. The objective of the partners is to raise €110 million from the different assets that the company owns in the Balearic Islands, Cataluña, the Community of Valencia and Andalucía.

With 1,000 rooms in total, the Helios portfolio contains four hotels and an aparthotel, although the company is yet to receive an offer that meets its expectations, according to Crónica Global. The hotel chain’s assets comprise: Helios Lloret (Girona), Helios Mallorca, Helios Costa Tropical (Almuñécar, Granada), Helios Benidorm (Alicante) and Apartamentos Helios Mallorca.

The Vilella family is renowned in the hotel sector on the Costa Brava, where, through the family company Turiexpert, it owns the Hotel San Carlos in Roses.

Original story: Eje Prime 

Translation: Carmel Drake

CBRE: Hotel Inv’t Reached Record Figure of €3.75bn in 2017

29 December 2017 – Europa Press

Investment in the hotel sector in Spain grew by 83% in 2017 compared to the previous year, to reach a total transaction volume of €3.75 billion, according to data from the consultancy firm CBRE Hotels.

The cumulative figure represents a historical record in the Spanish market, exceeding the previous record set in 2015. The increase is primarily due to strong demand from investors to buy and capitalise hotel assets, whereby taking advantage of the economic and real estate recovery in Spain.

According to CBRE Hotels, 190 hotel assets were sold in Spain in 2017, up by 23% compared to 2016, which represented an increase of 25% in terms of the number of rooms sold (28,000). Moreover, a further 2,200 future rooms were also sold last year in buildings and projects still under construction.

The most sought-after hotel assets were 4-star establishments, accounting for 42% of all investments.

The Canary Islands and the Balearic Islands accounted for almost 40% of all investments

In terms of the main investment destinations in the hotel sector, the Canary Islands (21%) and the Balearic Islands (18%), together with Madrid (17%) led the ranking, followed by Barcelona and Málaga. The most significant changes compared to 2016 were seen in Barcelona and the two island regions, which went from accounting for 36% to 15% in the case of the former and from 24% (combined) to 39% in the case of the latter.

In terms of the type of properties, holiday hotels accounted for 60% of the total compared with 40% urban properties. On the other hand, buyers invested in individual assets in 60% of cases, rather than in portfolios (40%).

Regarding the type of buyers or investors that acquired the most hotel assets last year, including not only hotels but also tourist apartments, aparthotels and land and buildings destined for hotel use, institutional investors participated in 55% of operations, followed by private entities and family offices, with 22% of transactions, and other hotel chains, with 21%.

Main operations

The largest operation of the year involved HI Partners, the hotel platform that Banco Sabadell recently sold to Blackstone for more than €630 million. The change of owner of Edificio España also hit the headlines – it was acquired by Riu Hotels & Resorts for €272 million. And finally, the Wave portfolio, owned by Starwood Capital and Meliá, comprising 4 hotels in Lanzarote, Ibiza, Torremolinos and Mallorca, was sold in the middle of the year to London & Regional Properties, on advice from CBRE (…).

“The excellent performance of the main tourism markets and the excess liquidity in the capital market have led to a historic year with more than 150 transactions and where institutional players have been the protagonists once again”, explained the National Director of CBRE Hotels, Jorge Ruiz.

Moreover, he added that “the outlook is very positive and we expect to see more concentration in the market in 2018 and a renewed interest in the tourism industry in our country”.

Original story: Europa Press

Translation: Carmel Drake

CBRE: Hotel Inv’t Will Exceed €3,000M In 2017

10 October 2017 – Observatorio Inmobiliario

The summer holidays led to a slow down in hotel investment in Spain during the third quarter of 2017, after 6 months of euphoria and record-breaking deals, when more than €1,400 million was invested. By contrast, investment volumes reached just €240 million during the months of July, August and September, which represents a 55% decrease compared to the same period in 2016.

Nevertheless, the most significant operations of the quarter took place during the month of September, which, together with the major sale and purchase operations that are in the pipeline, suggests that hotel investment in Spain will accelerate again during the last few months of the year, according to CBRE Hotels. The consultancy predicts that the volume of investment may reach €3,000 million in 2017, which would represent a historical record, exceeding even the figure registered in 2015.

According to data collected by CBRE Hotels, between July and September, investors spent €240 million on the purchase of hotel assets, including not only hotels per se but also tourist apartments, aparthotels and plots of land and buildings dedicated to hotel use. In total, 22 assets were transacted (involving 2,500 rooms), with holiday hotels accounting for the lion’s share (65%) of the total amount invested (and representing 80% of the rooms sold).

In terms of the destination of investments, in the urban sphere, deals were very evenly distributed between Spain’s main cities: Madrid, Barcelona, Málaga, Granada, Valencia and Bilbao. Nevertheless, in the holiday segment, investors spent 45% of their total investment in the two archipelagos (i.e. in the Canary and Balearic Islands).

In terms of the most significant operations, within the holiday perimeter, the acquisitions undertaken by Portobello Capital stand out – it was the most active investor during the third quarter of the year, starring in the purchase of several assets/stakes in hotels managed by Blue Sea Hotels & Resorts. In the urban segment, the most high-profile purchase involved Hotel Parque Central de Valencia by Senator Hotels & Resorts.

In the end, and just like during the first two quarters of the year, CBRE Hotels also brokered two operations during the third quarter. Firstly, it intermediated the sale of Hotel Dolce Sitges (5* and 263 rooms), which also became the most significant transaction of the quarter (in both the hotel and urban segments). On the other hand, the company executed the sale of a plot of land in Bilbao destined for the construction of the first hotel in the city of the Catalonia Hotels & Resorts chain. For Jorge Ruiz, Director of CBRE Hotels in Spain, “the unprecedented performance of the hotel sector during the first half of the year, both in terms of investment and operations, added to the volume transacted during the third quarter and the projects underway, suggest that investment in the sector could reach €3,000 million this year, whereby exceeding the record set in 2015”.

Original story: Observatorio Inmobiliario

Translation: Carmel Drake

CBRE: Inv’t In Hotels Exceeded €700M In Q1

10 May 2017 – CBRE

Hotel investment in Spain is growing again, as are the main tourist indicators. Just when it seemed as if the YoY growth in hotel investment was beginning to slow down (based on the results for 2016), transactions worth almost 35% more were closed during the first three months of this year, than during the first quarter last year. According to the data compiled by CBRE Hotels, between January and March 2017, investment in hotel asset purchases amounted to €710 million, including not only hotels but also tourist apartments, aparthotels, as well as plots of land and buildings acquired for hotel use.

Of the 44 assets that changed hands during the first three months of 2017, approximately 55% belong to the urban segment and 45% to the vacation segment. With respect to the destination of investments, the Spanish capital stands out, accounting for more than 40% of the total volume invested compared to 27% in Barcelona, which despite its moratorium saw the sale of five hotels. The Balearic and Canary Islands, together with the Costa del Sol, accounted for another 19% of the total investment figure. The remaining investment was distributed across the rest of the peninsula.

During the first quarter, almost 40% of investments were carried out by private investors, compared with 55% during the first quarter of 2016. On the other hand, almost 20% of the volume invested was disbursed by hotel chains and operators, whilst the remaining 40% corresponded to institutional investors, including banks, sovereign funds, Socimis, fund managers, insurance companies and pension funds.

In terms of the types of contract, and based on the data from CBRE Hotels, 45% of the total transaction amount corresponded to operations in which the buyer became the manager of the establishment, whilst the remaining 55% related to investors that assigned the management of the establishment to the existing operator or to a new one.

In terms of the main operations that took place during the first quarter of the year, we highlight the sale of 50% of Centro Canalejas by OHL and Villar Mir; the acquisition of Hotel Velázquez, which was acquired by the Didra group; the purchase of NH Manzanares; and the operation involving the future Generator, which was acquired by Queensgate. At the same time, in the Catalan capital, the Hotel Silken Diagonal Barcelona and Hotel Generator Barcelona were sold, for a combined total of more than €100 million. CBRE Hotels brokered the sale of one hotel in Barcelona during the first quarter of the year.

Finally, several operations involving portfolios of hotels were also closed during the quarter, including the transaction completed by the Portobello group in March, which saw it acquire 95% of the Blue Sea Hotels & Resorts hotel chain, which owns several of the hotels that it manages.

Original story: CBRE 

Translation: Carmel Drake