At the very start of this year Davidson Kempner Capital Management alongside operating partners Highgate and Kronos completed a huge real estate transaction in Portugal.
Project Crow, as it was known, involved the €850 million purchase of what was reportedly the largest ever portfolio of Portuguese real estate assets, and included 65 hospitality, residential and commercial properties mainly located across the Algarve region.
Recently we caught up with Alda Filipe, real estate and marketing director for Kronos Homes Portugal and managing director for Kronos’ portfolio (resort developments) in the Algarve, to discuss the crossover between hospitality and resi, financing deals and US interest in Portugal.
On Project Crow
AF: It's a full integration. And as I said, you know, this portfolio involves a lot of hospitality assets, but then real estate to develop. So we really need to work together to make it happen, not only on the service side for the client going forward, but then on the resi side…
On working with hospitality investors
AF: If you can develop a project with the experience from the hospitality [side], but then also on the resi [side], developing and giving those returns for the client, but then not losing the sight of what that client wants. And, being able to adjust to … where the project is based, and giving that authenticity. That is key.
On the state of the market
AF: We're always looking at opportunity, we're actually also developing a plot where we're going to have branded resi. And so we really are always out there looking at opportunities. And as I said, not only as the developer and investor but also in joint ventures where other investment funds come together with Kronos.
On US interest in Portugal
AF: If you'd told me six years ago that I would be selling to Americans and that they were representing one of my projects, 40% of my buyers, I would say "no, you must be joking", because I've always sold to the traditional market.