Tag: hotel use

Valencia Protects Residential Use of 2,250 Buildings in the Special Plan for Ciutat Vella

26 July 2018 – Inmodiario

The Special Protection Plan (PEP) for Ciutat Vella, in Valencia, is going to protect more than 2,250 properties that constitute the predominantly residential area in which “the compatibility of hotel use and residential use is not admissible. The professional use of tourist apartments is not permitted in any of them”.

That is according to the Councillor for Sustainable Urban Development, Vicent Sarrià, who was speaking at an information session aimed at local residents to share with them the document that is currently in its public consultation phase. Sarrià highlighted that it is the first plan that has involved active participation workshops, in which different groups from the district have intervened.

“One of the most important of the many challenges that the PEP for Ciutat Vella was meant to respond to was to maintain the residential fabric and recover the population, limiting the “tertiarisation” of the district and containing the expansion of tourist apartments”, said Sarrià, who explained that whilst the plan was being drafted and processed, “the granting of new licences was suspended, which stopped new requests in their tracks; that situation will continue until the definitive approval of the plan”.

Moreover, he added that the PEP “has responded by protecting the residential use of the majority of the buildings in the Carme neighbourhood, and most of the El Pilar (Velluters), Mercat and Seu Xerea districts”.

In this vein, he recalled that with the plan in force, “any residential building was susceptible to being converted into a hotel or tourist apartments”. “By contrast”, he continued, “the PEP removes that urban planning compatibility, except for in the Sant Francesc area, prohibiting its implementation and whereby ensuring the maintenance of its existing use and with it, the population of the historical centre” (…).

Original story: Inmodiario 

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

New Urban Planning PGOU Approved for Málaga

25 November 2017 – Diario Sur

Following the annulment of the PGOU approved in 2010, the route map towards the normalisation of urban planning in Marbella has taken a step forward with the initial approval of some new urban planning rules. The latest document seeks to “update” the plan approved in 1986, which is still valid now and which will serve as the basis for drafting the new PGOU that the city needs. The process, which was approved by the plenary with votes in favour from the government’s team (PP and OSP) and the PSOE, and votes against from IU and Costa del Sol Sí Puede, must now be completed with text from the provincial delegation of the Junta’s Environment Board, prior to the issuance of a mandatory report. Subsequently, it will be presented to the plenary again for definitive approval (…).

In practice, and as the councillor for Land Planning, María Francisca Caracuel, explained, modifications have been made to the framework, amongst others, “which affect many homes” and which mean that “extensions, improvements and renovations will now be allowed” on buildings that were left out of the guidelines after the 2010 plan was annulled.

Another change will affect plots of land, for which it is not currently possible to grant construction licences because no approved urban planning projects exist, in accordance with the plan approved in 1986 “even though, in reality, they are already partially developed”. In these cases, the common rules open the door for the plots to be developed, by submitting an urbanisation work project “which is less complex and which can be processed in less time”.

The new rules will authorise hospitality use on the first floors of homes in the Casco Antiguo (Old Town) and will allow hotel establishments to expand their facilities onto adjoining plots even if the use of those sites is not strictly for hotel purposes (…).

Established urban plots

In the field of urban planning, the plenary also ratified (with votes in favour from the government team, against from IU and CSSP, and abstentions from the PSOE) the proposal made by the Councillor for Land Planning to incorporate established urban plots into the urban development plans, after they have been declared as such by binding legal rulings, administrative declarations, own acts, plenary agreements or by the Local Government. The councillor insisted that, given that it does not require any structural changes, there is no need for the document to be subjected to a new public consultation period, as had been requested by the other municipal groups.

In other matters, the municipal corporation also gave the green light, unanimously, to the proposal from the deputy mayor of San Pedro Alcántara, Rafael Piña (…) to begin the paperwork for the construction of a new secondary school in the south of San Pedro (…).

Finally, the plenary also approved, amongst other items, a proposal from IU to create a network of roads to connect the urbanisations between Bello Horizonte and Elviria, to form a 10km network that will offer a safe alternative to the A-7 motorway, which is “always packed and dangerous”.

Original story: Diario Sur (by Mónica Pérez)

Translation: Carmel Drake

Cuatrecasas Buys Another Asset On La Diagonal For €7M

13 July 2017 – Eje Prime

Emilio Cuatrecasas is on a roll on Barcelona’s Avenida Diagonal. The lawyer’s family office, Emesa, has redoubled its commitment to the avenue with the acquisition of the headquarters of the Ophthalmology Institute for €7 million. This purchase follows its recent acquisition of 31,000 m2 of land in Project Finestrelles, located in Esplugues de Llobregat (Barcelona), where it plans to build six office blocks.

The building in question this time, which used to house the headquarters of Grand Tibidabo, has a surface area of 2,000 m2 and is located at number 632 on La Diagonal, at the intersection with c/Sarrià. The property has a long-term rental contract with the clinic, which currently belongs to the Quironsalud group.  The property used to be owned by the former owner of the Ophthalmology Institute in Barcelona, Andreu Coret, through the firm Inmo 632, according to Expansión.

In recent months, the investment arm of Emilio Cuatrecasas has made several acquisitions, including of number 444 on La Diagonal, for which it paid €35 million. That property, known as the Majorica building, has three façades overlooking La Diagonal, Paseo de Gràcia and Calle Còrsega, and until December last year, it housed the offices of the law firm Cuatrecasas.

Last summer, Emesa also completed the acquisition of a unique asset. The investor group purchased the Ullastrer Palace, in the Baix Empordà area, with the aim of promoting a premium hotel chain. The estate, known as Can Romaguera, is currently being restored and offers up to 2,500 m2 of space for hotel use, with an investment of €7 million.

The asset portfolio of Emesa, which is led by Ferran Forrellad, is completed by a building at number 191 on Avenida Diagonal, which houses the new headquarters of Cuatrecasas; number 579 on Avenida Diagonal, where Emesa’s headquarters of located; two office buildings in Mas Balu and a logistics park in El Pla de Santa María, in Tarragona.

Original story: Eje Prime

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