Banco Santander acquires minority stake in Melia Group subsidiary

Spain’s Banco Santander, through its investment vehicle Moon GC&P Investments S.L.U., has acquired a 38.2% minority stake in three Melia hotels totalling 1,099 rooms, from Spanish hotel chain Melia Hotels International, for €300 million. This indicates a value for the portfolio, which comprises the five-star, 157-room ME London in London, the five-star, 604-room Gran Melia Palacio de Isora in Tenerife and the five-star, 338-room Melia Cala Galdana in Menorca, of €785 million (€715,000 per room). The acquisition will see Banco Santander’s investment vehicle acquire preferential B shares in the Melia subsidiary. Melia’s portfolio presently consists of over 350 hotels in 40 countries, with some 200 of these being located in Spain.

Covivio acquires 8.3% Generali stake in Covivio Hotels subsidiary

Paris-based, publicly traded real estate investor Covivio has acquired the 8.3% stake in its Covivio Hotels subsidiary from Italian institutional investor Generali in exchange for Covivio shares, representing some €500 million in assets and €300 million in capital increase. This transaction increases Covivio’s ownership in Covivio Hotels from 43.9% to 52.2%, and will be based on an exchange rate of 31 Covivio shares to 100 Covivio Hotels shares. The remaining shares in Covivio Hotels are owned by a range of institutional investors including Credit Agricole Assurances, BNP Paribas Cardif, Assurances du Credit Mutuel, Sogecap and CDC. This acquisition will increase the hotel share of Covivio’s total portfolio from 17% to 20%. Covivio Hotel’s portfolio includes 313 hotels and is valued at €6.4 billion as of Q4 2023.

Covivio acquires 8.3% Generali stake in Covivio Hotels subsidiary

Singaporean investment manager Sun Venture has acquired the four-star, 230-room Hyatt Place London City East in London, United Kingdom, from London-based asset manager Resolution Property for a reported £100 million (£435,000 per room). The hotel is located in The City of London, in Aldgate, and was previously an office building that was converted and opened as a hotel in 2021. Since its opening, the Hyatt Place has been operated by Cycas Hospitality, which has over 50 hotels under management across Europe, under a franchise with Hyatt Hotels. This transaction marks Sun Venture’s first hotel acquisition. The investment firm has a portfolio that includes four assets in London, including a mixed-use New Oxford Street development. Resolution acquired the asset in 2015 and implemented an extensive repositioning programme.

BLG Capital sells Amanruya Bodrum, Turkey, to a domestic investor

Istanbul-based private equity firm BLG Capital has finalised its sale of the Aman-branded Amanruya hotel, situated in a secluded location close to the Turkish coastal beach resort city of Bodrum. The 36-room ultra-luxury hotel transacted for a reported €69 million (€1.9 million per room), and was sold to an unnamed Turkish asset management company. BLG Capital acquired the property back in 2016 and completely redeveloped the space over two years, before reopening the 5,500 sq ft resort in 2018. The property overlooks the Aegean Sea and features six food and beverage venues, a Turkish spa, fitness centre and yoga studio, tennis court, a library and meeting room and Bodrum’s longest swimming pool (50m).

Castello acquires Grand Hotel Poltu Qualtu in Sardegna, Italy, from Pulcini

Italian real estate asset management company Castello SGR, through its GEM fund, has acquired the five-star, 139-room Grand Hotel Poltu Qualtu in Sardegna, Italy, as part of a mixed-use complex, from Italian real estate company Gruppo Pulcini. The price of €70 million included the luxury hotel and approximately 100 residential units. The complex is set to be redeveloped into a luxury resort which will feature 150 hotel rooms and 80 serviced apartment units, which will all be managed by Marriott International under its luxury lifestyle W Hotels brand. Italian banks Intesa Sanpaolo, Unicredit and Banco BPM are providing financing for the acquisition and the redevelopment works. The complex is located on the Costa Smeralda coastline in the northern part of the Italian island, and was originally developed by the Pulcini family. Castello was acquired in July 2023 by the ANIMA Group, one of Italy’s largest independent asset management groups.

Visasur acquires Hotel Merida Medea in Spain from ADIA

Seville-based group Visasur has acquired the four-star, 126-room Hotel Merida Medea Affiliated by Melia in Badajoz, Spain, from Emirati sovereign wealth fund Abu Dhabi Investment Authority (ADIA) for an undisclosed amount. The hotel was part of the Spanish Equity Real Estate portfolio of 17 hotels comprising 2,587 rooms, which ADIA acquired in Q3 2023 for a reported €600 million (€232,000 per room). The property is located two hours drive north of Seville and features an outdoor swimming pool, a gym and six meeting rooms which can accommodate up to 370 guests. The hotel is expected to be operated by Visasur’s operator, AZZ Hoteles, and be consequently rebranded to the AZZ Meridea Medea. AZZ was founded in 2017 and presently has six establishments in its portfolio across Spain.

Feldberg and Die Mehrwertbauer acquire Hotel Ambiance Rivoli in Munich

A joint venture between German real estate investor Feldberg Capital and Berlin-based developer and investment manager Die Mehrwertbauer have acquired the four-star, 66-room Hotel Ambiance Rivoli in Munich, Germany, for conversion to residential flats. Built in 2002, the 4,000 sqm hotel sits on an 840 sqm site in the centre of the Munich-Sendling area, near Harras and Albert-Rosshaupter-Strasse. The total investment volume, including the development programme, amounts to an estimated €20 million and a long-term lease has been secured with a “public sector user” ahead of reopening.

French businessman acquires Hôtel Kyriad Marseille Blancarde Timone in France

French businessman Cyrille Kauffmann has acquired the three-star, 43-room Hôtel Kyriad Marseille Blancarde Timone in the city of Marseille, France, from an undisclosed seller. This hotel is located in the fourth arrondissement of the city, some two kilometres south of the Marseille Saint-Charles main train station. The asset is said to have generated over one million Euros in revenues in 2023, up from its 2019 financial performance, following a recent refurbishment programme. This acquisition is Cyrille Kauffmann’s second hotel in the south of France, following the Hôtel Kyriad Montpellier Parc Euromédecine, located some two hours drive east of Marseille. 

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