Investment

Sixth Street enters Italian hotel market

Sixth Street has completed the purchase of the Le Palme Hotel & Resort property in Porto Cervo on the Costa Smeralda in Sardinia, Italy for an undisclosed amount.

The deal isin partnership with financial advisory firm Eidos Partners.

The Le Palme purchase is Sixth Street’s first hotel and resort acquisition in Italy and follows the acquisition of five hotels in Spain in December 2021. Eidos Partners will act as operational asset manager as the pair redevelop the 17,000 sqm property into a five-star resort with an expected opening in 2024.

Sixth Street and Eidos are in the process of selecting a new brand and property manager to create a new partnership for the co-management of the property.

The hotel is located in Liscia di Vacca in Porto Cervo, the main village of the Costa Smeralda. The property today includes a private beach, lake, garden, restaurant, pool and 92 hotel rooms.

The new investment adds to Sixth Street’s Italian portfolio that includes logistics, offices, residential, student housing, telecom infrastructure and now hospitality assets. The firm has a long-term view and is committed to further grow its Italian investment portfolio across different industries with a focus on real estate.