More than 790 million euro were invested in hotels in Iberia during the first three months of 2020 alone. This amount is twice as high as the amount invested during the last quarter of 2019 and almost three times as high as the amount invested during the same period last year.
This amount is explained by the conclusion of 2 mega-operations at the start of the year: the purchase of Real hotels spread across Lisbon and the Algarve by Palminvest for 300 million euro and the purchase of Hotel Edition in Madrid by Archer Hotel Capital, (controlled by Singapore’s GIC Real Estate and Dutch company APG) for 220 million euro. These 2 transactions represented more than 65% of all investment in this segment. But it should be noted that during the first quarter a total of 15 deals were concluded, with the average ticket per operation at 52.7 million euro.
But this was not the best quarter in recent times in Iberia. According to Iberian Property’s Hotel Report, last year’s second quarter had around 40 million euro more invested in the segment. On the other hand, it was followed by the worst result, with only 107 million euro invested.
Despite Spain having attracted most of the investment during the last 4 quarters – around 62% - investment in Madrid (20%) was less than the investment on the Portuguese capital, Lisbon, which attracted 24% of all hotel investment. It should be noted that during this period, Catalonia represented 8% and the remaining Spanish regions 34%.
Asset managers & investment funds invested the most in the hotel segment during the last 12 months, representing 40% of all investment. In the second place, came private equities with 34%, and in third REITs with almost 14%.
All the information is available at the Hotel Report launched by Iberian Property, which can be downloaded HERE.
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Disclaimer: This information is based on public data gathered within the platform Iberian Property Data. All estimates were calculated based on registered public information and data from the main consultants within the market. It should be noted that the results presented here may be updated if new information is issued.