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Insight Comment |
Stoneweg Hospitality and Bain Capital Credit have bought the Palladium Hotel Don Carlos in the coastal town of Santa Eulalia del Río in Ibiza for an undisclosed amount.
The four-star hotel has 168 rooms, 32 of which are suites, and is a short drive from Ibiza airport.
The property has direct beach access and is surrounded by mountains, a pine forest and the Santa Eulalia river. Its facilities include two restaurants, a bar, gym and a large 250 sq m swimming pool.
The two companies via their real estate hospitality joint venture plan to reposition the hotel towards a lifestyle concept, opening up the communal areas towards the sea and establishing new dining options. Palladium Hotel Group will continue to manage the hotel until the end of the 2022 season, when the renovation of the hotel and management by a new operator will begin.
This is the JV’s third acquisition in 2022 following the purchase of Hotel Los Monteros Spa and Golf Resort in Marbella and Hotel Mimic in Barcelona. Last year the JV acquired the Andalucía Plaza hotel complex in Puerto Banús, Marbella, which is currently undergoing a renovation to convert the site into a Hard Rock Hotel with 384 rooms, including 50 suites. Hard Rock Hotel Marbella is expected to welcome its first guests in June this year.
What They Said
Miguel Casas, managing director of Stoneweg Hospitality, said: "This is our third hotel acquisition with Bain Capital Credit so far this year, which is testament to the strength of our on-the-ground relationships and our commitment to the hospitality sector, where we continue to see exciting opportunities to acquire high-quality, well-located assets with significant value add potential. We look forward to working with them on this latest project and towards the delivery of robust returns to our investors.”
Fabio Longo, managing director of Bain Capital Credit: "Palladium Hotel Don Carlos is a great hotel in a prime location. Our experience in the Spanish hotel sector will allow us to strategically invest in its facilities and rehabilitate the venue to its full potential, in partnership with Stoneweg."