Tag: Barceló

Barceló to Invest €25 Mn & Double of Its Barcelona Hotels’ Number

6/11/2014 – Expansion

Currently, Barceló operates three hotels in the city of Barcelona (the Hotel Barceló Raval pictured) but the group wishes to double that number and, through investing €25 million, open three establishments more.

Barceló Hotels & Resorts’s CEO Vicente Fenollar has explained that the amount is a part of the €100 million intended by the group for adding new establishments and refurbishing the existing ones, planned for the next years.

Likewise, the group predicts to multiply by two its Madrid hotels. Presently, they are two.

Inside its startegic plan, Barceló foresees increasing the number of its city hotels from 14 to 30 ‘within three or four years’, and therefore reaching 6.000 keys.

Mr. Fenollar took part in a session devoted to hotels and shopping centers at Barcelona Meeting Point real estate exhibition. The group currently holds 51 establishments in Spain, totalling at 13.000 rooms. Aforementined 14 are situated in citites while the rest are resorts.

Original article: Expansión

Translation: AURA REE

Barceló Settles Down in the Center of Madrid

22/10/2014 – Expansion

Hotel switch in the heart of the Spanish capital. From January 1st, Hesperia will hand over the management of the Hotel Emperatriz to Barceló. The 4*, 158-key establishment is located at 4, Lopez de Hoyos street, a minute-walk from the central artery Paseo de la Castellana.

Barceló finally meets its target of entering Madrid’s center as until now it owned only establishments in the Manoteras and San Blas areas, as well as one in the nearby town of Aranjuez.

According to sources from the sector, the chain controlled by the Barceló family has been chosen by the hotel’s owner, Antonio Saorin Alarcos and his Inversiones y Patrimonio Castellana, a company holding several office buildings in Madrid, such as the Edificio Cuzco IV at 141 Paseo de la Castellana street.

Over the past years, the tenant and the landlord have come to an agreement to modify the rental payment set up in 2006. In spite of the amendment, Inversiones y Patrimonio Castellana remained uncertain facing the delicate situation Grupo Inversor Hesperia fell into.

And despite Barceló being the cert, still questions about the new contract duration are being asked. Also, a reform of the establishment and upgrading it to a 5* hotel is being considered. Implementation of this project would cost around €10 million.

Barceló underpins interest about other ventures in Madrid, such as the Miguel Angel or creation of a hotel on the three first floors of the Torre Madrid skyscraper in the Plaza de España square and owned by Metrovacesa.

 

Original article: Expansión (by Yovanna Blanco)

Translation: AURA REE

RIU, NH, Barcelo & More to Implement Hotel Projects For €1.5 Bn Total

17/09/2014 – Expansion

An investment wave lands in Spain‘s greatest hotel chains. After years of self-constraint, RIU, NH Hotel Group, Barcelo, Iberostar, Palladium and Melia decided to prepare budgets for new projects amounting to €1.5 billion.

In the majority of the cases, the equity will be intended for existing hotel refurbishments and their expansion and then for the new projects.

Since the recession hit, more property-oriented chains like RIU, Iberostar and Palladium have been actively developing new hotels. Whereas the other, like Melia, Barcelo and NH have opted for different growth paths, such as management contracts, rentals and franchises.

Speaking of the amounts, RIU is planning to spend €300 million this year on purchases, construction and hotel renovations. In the last years, the chain focused on urban hotels and bought several establishments outside of Spain.

NH ranks the second with a 3-year investment plan assuming spending €225 million to increase its ADR (Average Daily Rate). Year-to-date, the company has totally overhauled two hotels in Madrid, one in Pamplona, another in London and one more in Berlin.

In line with the project, by the end of 2014, 40% of the investment will have been carried out. By 2018, over one hundred of hotels will have been modified with 50% of the budget intended for launching a new premium brand of the group, NH Collection.

Barcelo is going to spend €176 million on hotel repositioning in the Dominican Republic, Mexico, Barcelona, Fuerteventura and Cadiz, to name few places.

Also Iberostar does not want to lag behind and plans investing €100 million in its establishments on the Pacific and Atlantic coasts.

If it comes to Palladium, the chain decisively bets on Ibiza where it has opened two new hotels: the Ushuaia Towers and the Hard Rock, now representing the beacons of its portfolio.

Moreover, Palladium progresses at the refurbishement of a building situated in front of the Atocha station in Madrid which will open its doors as a hotel in 2015. Likewise, the hotel chain is waiting for permits to begin a macro-project on the Playa d’en Bossa beach (Ibiza) said to consume €350 million.

Meanwhile, Melia continues to implement one of its best projects on converting Magalluf (Palma de Majorca) in a reference European resort. The chain led by the Escarrers will spend €90 million more on refurbishment of a part of its hotels in Spain, Europe and America.

 

Original article: Expansión (by Yovanna Blanco)

Translation: AURA REE

Barceló Weights Up Sale of a Part of Its Hotel Portfolio

20/08/2014 – Expansion

Barceló redirects its strategy concerning property in its ownership. The chain controlled by a family of the same surname analyzes various alternatives for reducing its exposure to the real estate.

Currently, the firm manages 102 hotels in 17 countries jointly offering 30.809 rooms. About 39% of the establishments belongs to  Barceló – 63% if owned rooms (19.400 units) taken into account. In Spain, the group operates in 49 hotels out which it rents 19. Last year, Barceló reinforced its position in the holiday sector and invested more in 4* and 5* establishments. Currently, it has got three 3* hotels for sale: the Barceló Varadero (Tenerife), the La Galea (Lanzarote) and the Ponent Playa (Palma de Majorca, pictured).

What is more, the chain may want to shed the eight hotels inherited from Martinsa-Fadesa that went bankrupt in 2007.

Options are numerous. Firstly, Barceló may group a part of its assets and sell them to investors. Secondly, it may market hotels in lots or even create a Socimi, Spanish counterpart of a REIT firm. By choosing the last alternative, Barceló would be the first hotel chain to use this kind of vehicle.

In fact, the group has already formally registered a company called Bay Hotels & Resorts, intended for a Socimi, however its listing became quite unlikely in the light of the recent changes in the tax incentives guaranteed by Spanish REITs.

In 2012, Barceló sold three hotels in Chicago, Hamburg and Raval (Barcelona) for €133 million, saving management of the last two. In 2013, it said goodbye to other three establishments in the USA, as well as to holdings in several companies.

 

Original article: Expansión (by Yovanna Blanco)

Translation: AURA REE

Barceló Wants to Switch From Ownership to Tenancy

10/07/2014 – Expansion

The Barceló Group has decided to earn some money on its real estate and sell the historic headquarters in Palma de Majorca.

The 4.000 square meter property for sale is situated on the Josep Rover Motta street in Palma. The asking price sets between 8 and 9 million euros. JLL handles the transaction.

Barceló wants to sell the building and sign a long-term tenancy agreement (minimum for 5-7 years), just like Santander or Ferrovial did.

Investors immediately smelled the opportunity out, especially the family offices which regularly invest in this type of assets and the offer additionally appeals with a firm solvency of the future tenant.

Nearly a dozen of bidders have already submitted their proposals.

 

Original article: Expansión (by Rocío Ruiz)

Translation: AURA REE

Barceló Expects to Earn 12% More This Year & Get to €28 Mn

6/06/2014 – Expansion

The hotel group raised its total net profit by 614.3% last year and reached €25 million. For 2014, Barceló plans a further, 12% increase until reaching €28.1 million. 

Company´s turnover showed over €1.9 billion in 2013, by 25.2% more, with Ebitda of €183.3 million, by 9.5% better than in 2012. The hotel group wants to drive its Ebitda up by 16% to €212 million in 2014, as well as to improve occupancy, tariffs and RevPar.

Out of the €1.9 billion gains, sales represented €1.1 billion (39.5% bigger) compared to the €806.7 million earned in 2012. The sales mostly refer to Barceló´s travel office branch Viajes with over 700 offices including both touroperators (Quelónea, Jolidey and laCuartaIsla) and specialized brands (LePlan, LeSki, Jotelclick and aerial Evelop).

When it comes to hotels in its chain, the occupancy rate improved by 1.1%, settling at 70.7%, while the average daily rate and the RevPar rose by 2,5% and 4% respectively in regard to 2012. The best figures brought the group the hotels in South America with 85% occupancy. 

 

Original article: Expansión (after: Europa Press)

Translation: AURA REE

Barceló to Restructure €733 Mn Debt

24/04/2014 – Cinco Dias

Barceló Corporación Empresarial, the mother company of Barceló Hotels & Resorts and Viajes Barceló, is going to plead permission to “issue fixed-income securities” from its shareholders. The hotel group ponders turning to the debt market in order to issue the securities and thus cut in its financial debt that amassed €732.9 million at the end of 2012.

Simón Barceló Tous and Simón Pedro Barceló Vadell, the group´s chairmen, follow the steps taken by two other hotel chains. Precisely, Meliá placed €250 million in convertible bonds with a 4.5% coupon, while NH Hotel Group carried out two issues: one of €250 million in convertible bonds and the other of €250 million in secured senior obligations.

 The nearest stakeholders´meeting will take place on 30th May and if the issue is approved, the operation might add to the position of Barceló at the final bidding for the Occidental Hoteles, put up for an auction by BBVA and Amancio Ortega and also desired by Marriott, Posadas, KSL, Host Hotels & Resorts, Grupo Playa and CPG.

Barceló does not deny possible hotel purchases in the future as the group wishes to grow in Mexico, the Dominican Republic, Panama, Northern Africa, Germany, Turkey and Greece.

 

 

Original article: Cinco Días (by Laura Salces)

Translation: AURA REE

Hilton, Meliá, Barceló & Kempinski Bid For Miguel Ángel Management

1/02/2014 – Expansion

Fuss on the Spanish hotel market about the future of the Hotel Miguel Ángel in Madrid. The historical establishment, located on the Paseo de la Castellana Street, was left without operator in 2014. Before, Occidental fulfilled that role (…).

Although few asked about the Hotel, the four offers, preceding from two Spanish and two foreign groups, are very serious ones. They come from Hilton, Meliá, Barceló and Kempinski.

For Hilton, the third chain in the world with 4.000 hotels that has been just listed on the stock market, the purchase would be return to Madrid, where the company arrived in 1953 to manage present InterContinental, also on the Castellana Street. Meliá operates 23 hotels in the capital, while Barceló would reach its 2014 target: be in the heart of Madrid. The Swiss chain Kempinski (…) would open the second hotel in Spain (the other one is situated in Estepona).

Rent

The millionaire Nadhmi Auchi, hotel´s owner, obviously has got the last word and he is not in hurry whatsoever. (…) He receives plenty of offers, also from London.

In parralel, the businessman does not deny the possibility to incorporate to his luxury chain Le Royal, present in Luxembourg, Marocco, Tunisia, Liban and Jordan. (…).

Also, Hyatt, that has got no hotel in Madrid, expressed interest in the management. (…).

Miguel Ángel, 5-star and 267-room, requires renovation which might cost up to €30 million. Auchi hopes to share the amount with the new manager.

(…) What is more, the millionaire seeks chain that would also pay a rent. Its last tenant, Occidental, found it too difficult to stay and had to terminate a 25-year rent contract signed in 1999 with Auchi. (…).

Original article: Expansión (Yovanna Blanco)

Translation: AURA REE

Barceló Drives Revenues Up & Searches For Hotel in Madrid Center

23/01/2014 – Expansion

Positive balance for Barceló in 2013. The tourist group has significantly raised the revenues (up to 1.600 millon Euros) thanks to its subsidary travel office growth and prospering holiday hotel business in the Caribbean and on the Spanish islands that compensated the weakness of urban establishments. In 2012, Barceló registered 1.547 millons, with the net gains of 3,5 millons.

“Everything seems to signalize better results (in 2014) thanks to the regions mentioned (above)” – assures Raúl González, the CEO of the Barceló Hotels & Resorts for Europe, the Middle East and Africa (Emea). (…).

More Hotels

Barceló closed the year 2013 with five new incorporations in Spain, Italy, Mexico and Greece, comprising 1.475 rooms altogether. The main 2014 target will be Madrid, the Balearic and Canary Islands, Italy, Turkey, Germany, Greece and Central America. (…).

When it comes to its travel business, Barceló advanced in the number of agencies (up to 700) and launched its own charter airline Evelop! (…).

Original article: Expansión (Y. Blanco)

Translation: AURA REE