Tag: Hotel Jardín Tropical

HI Partners Invested €136M In 4 Hotels In July

8 August 2016 – Expansión

In addition to its two purchases in the Canary Islands (IFA Catarina and Hotel Jardín Tropical), it also acquired the luxury Hilton Sa Torre resort in Mallorca (pictured above) and the Hotel Abba Acteon in Valencia.

Four acquisitions in four weeks. That was the result of HI Partners’ activity in July, a month in which the company owned by Banco Sabadell, closed several deals that allowed it to incorporate 1,119 new rooms into its hotel portfolio in one fell swoop. It paid €136 million in total for the four operations, which allowed HI Partners to extend its presence to the Canary Islands and Mallorca for the first time, two of Spain’s main tourist destinations.

The company led by Alejandro Hernández-Puértolas has just completed the purchase of two establishments in Mallorca and Valencia, to add to the two acquired in the Canary Islands half way through the month. With these purchases, the investment and hotel management company’s portfolio of hotel assets now contains 28 properties and 3,352 rooms.

In Mallorca, HI Partners has purchased Hotel Hilton Sa Torre, a luxury resort located in Llucmajor, on a traditional Mallorcan estate that includes buildings dating back to the 14th century. The five-star property has ninety rooms and a spa, as well as several swimming pools, a tennis court and extensive gardens.

In parallel, at the end of July, the firm also acquired Hotel Abba Acteon, a four-star urban property located in the centre of Valencia, with 150 rooms.

These two purchases followed its acquisition of IFA Catarina, located in Maspalomas (Gran Canaria) and Hotel Jardín Tropical, located in Adeja (Tenerife).

Investment in renovation

The four hotels have increased the size of the HI Partners Value Added vehicle, which contains the jewels of the investor group’s crown. The division now owns eight assets. Alongside the two hotels in the Canary Islands and the new properties in Mallorca and Valencia, the fund also includes Hotel Silken in Málaga, the Terramar in Sitges (Barcelona), the Prestige Coral Plajta de Roses (Girona) and the future Hotel Axel in Madrid, which is currently under construction on Calle Atocha.

HI Partners plans to allocate an addition €20 million to the renovation and improvement of the properties it has acquired. All of them have received financing from Banco Sabadell, in other words, they form part of the €850 million hotel debt portfolio managed by HI Partners.

Original story: Expansión (by Sergi Saborit)

Translation: Carmel Drake

HI Partners Buys Hotel In Tenerife From The Polanco Family

26 July 2016 – Expansión

The founding family of Prisa will use the funds (received from the sale) to reduce its debt with the banks and repay a loan from Banco Santander.

HI Partners is pushing ahead in its offsensive to become one of the largest owners of hotel assets in Spain. The subsidiary of Banco Sabadell has acquired the Hotel Jardín Tropical, located in Costa de Adeje, in the south of Tenerife, from the Polanco family, founder of Prisa.

This is a complex operation that, on the one hand, will allow the repayment of a €20 million loan that the hotel holds with Banco Santander. In parallel, the Polanco family will reduce the bank debt that it holds with several financial institutions, according to sources close to the transaction. This is HI Partners’ second acquisition in the Canary Islands, after it purchased Hotel IFA Catarina in Gran Canaria a few days ago, from the Lopeson group.

Through the investor holding company Timón, the Polanco family controls several hotels, which it operates through My Way. This company will continue to manage Hotel Jardín Tropical, which has 419 rooms and has a 4-star rating. The hotel, constructed around thirty years ago and located on the beach front, was designed by the architect Melvin Villarroel, known for integrating architecture with nature. Thus, the hotel has 12,000 sqm of sub-tropical vegetation and a saltwater swimming pool.

The aim of HI Partners is to renew all of the rooms to modernise the tourist complex, located in Spain’s fourth most important destination by RevPar, the indicator used to measure the profitability of hotel assets. The company led by Alejandro Hernández-Puértolas now has 26 hotels in its portfolio and manages €850 million of Banco Sabadell’s hotel debt.

Original story: Expansión (by S. Saborit)

Translation: Carmel Drake