HVS EMEA Hospitality Newsletter – Week Ending 17 July 2015 (July 18, 2015)

McAleer & Rushe Sell Jurys Inn Portfolio 

To release capital for further development and investment, McAleer & Rushe has sold a four-property portfolio of Jurys Inn hotels in four different UK cities to four separate buyers for a total of £80 million. LaSalle Investment Management acquired the 170-room Jurys Inn Exeter for £16.5 million (£97,000 per room); the long-leasehold of the 310-room Jurys Inn Liverpool was purchased by an institutional client of Sladen Capital Partners for £29.25 million (£94,350 per room); the Charities Property Fund bought the 213-room Jurys Inn Derby for £14.85 million (£69,700 per room); and the 264-room Jurys Inn Nottingham was picked up by a private investor for £20 million (£75,760 per room).

Shiva Sells Two UK Ramadas 

MCAP Global Finance has acquired two Ramada hotels in the UK from Shiva Hotels for more than the £21.5 million guide price. The 90-room Ramada Birmingham City, in the Mailbox office and up-market retail development in Birmingham city centre, and the 142-room Ramada Manchester Salford Quays will both be managed by Valor Hospitality.

Tryp Atocha Sold 

It was reported this week that Spanish real estate firm Saint Croix Holding has sold the Tryp Atocha hotel in Madrid to an undisclosed buyer for €27.6 million (€185,200 per room). The 149-room, six-storey hotel, in the city's Letras district, is currently leased to Meliá Hotels International.

Renovation, Renovation... 

London celebrated the return of one of its luxury hotels this week after The Lanesborough officially emerged from its 19-month £60 million makeover and started welcoming guests once more. The 93-room hotel is now being managed by Oetker Collection and marks the group's entry into the UK market. The building was built as a residence for Viscount Lanesborough in 1719; in 1817 it was rebuilt as St George's hospital and it became the Lanesborough hotel in 1990. Another iconic hotel also reopened with a new look this week: Marriott International's 331-room Nile Ritz-Carlton in Cairo, Egypt, which has been completely restored, whilst still retaining many of its original features.

...And More Renovation 

Steigenberger Hotel Group plans to renovate and extend the Grandhotel Petersberg in Bonn-Kônigswinter, northwest Germany. The hotel will remain open throughout the phased renewal, which is scheduled to start in 2016 and is expected to be completed by 2017. The hotel's room inventory will grow from 99 to 111 and the work will also include the installation of air conditioning and other modernisations.

Starwood Welcomes a Quartet into its Luxury Collection 

Starwood Hotels & Resorts is adding a further four properties to its European Luxury Collection portfolio. The expansion will see the collection grow to more than 100 hotels across the globe by 2015. The new additions to the collection are the recently opened 101-room Augustine in Prague, which, owned by Augustine Management, was created by converting seven historic buildings including a 13th-century monastery and marks the chain's debut in the Czech Republic; the new-build 84-room Cerasse Resort & Spa, which opened at the beginning of the month as the first Luxury Collection property in the Aegean resort of Bodrum, southwest Turkey, and is owned by A.E.B. Turizm Yatirim Ticaret AS; the new-build, 65-room Falisia Resort & Spa, which is owned by Rilke Srl and is due to open on July 18 as part of the Portopiccolo Sistiana mixed-use beachfront development on Italy's Adriatic coast, as the seventh Luxury Collection hotel in Italy; and the 231-room Grand Hotel River Park in Bratislava, Slovakia, which is also a conversion property and, scheduled to open on 1 August, is owned and will be managed by Best Hotel Properties.

New Opening in Milan Comes up Smelling of Roses 

A former perfume factory in Milan, Italy, has been transformed into a five-star, all-suite hotel. The Hotel Magna Pars is in the city's  Navigli district, just under nine miles from the Expo 2015 Exhibition Centre. The building history lives on in the hotel's 39 suites, which are inspired by and named after Italian perfume ingredients and scents. The hotel also houses a perfume lab.

Pestana to Expand in Portimão 

Portuguese chain Pestana has announced that it plans to open two new hotels in the Portimão area of Portugal's southern Algarve, bringing the group's portfolio in the area to eight properties. First to open in August will be the Alvor South Beach. Pestana spent a year and €8 million converting a 40-year-old abandoned building site into the 79-room hotel. Next up is the Pestana Race Resort, which is expected to open between September and December near to Portimão's international racing circuit. The hotel will have 75 apartments and suites and is owned by Parkalgar.

More Wellness for Riga 

Latvian hotel group Mogotel has recently opened a new hotel in Riga. The four-star, 174-room Wellton Hotel Riga, in the city's Old Town, is the group's seventh hotel in the capital. A total of €12 million was invested in the property's construction and a Wellton spa centre is due to open at the hotel by the end of the month. As well as its Riga hotels, Mogotel also operates three aparthotels (one in Riga and two in the coastal resort of Jurmala).

Minor Rebrands Five African Hotels as AVANI Properties 

Following the formation of its strategic partnership with Sun International in August last year, Thailand-based Minor Hotel Group has rebranded five hotels in southern Africa under its AVANI chain. The 212-room Zambezi Sun in Zambia now calls itself the AVANI Victoria Falls Resort; the 196-room Gaborone Sun in Botswana answers to the AVANI Gaborone Resort & Casino; in Lesotho, the 158-room Lesotho Sun and the 105-room Masero Sun have become the AVANI Lesotho Hotel & Casino and the AVANI Masero Hotel, respectively; lastly, the 173-room Kalahari Sands in Namibia is now the AVANI Windhoek Hotel & Casino.

Absolute Share Price Performance Over the Past Week – 9-16 July 2015 

Rezidor Hotel Group –  Will release its second-quarter 2015 financial results on Thursday 23 July.

InterContinental Hotels Group –  Credit Suisse raised its price target to 2,820p from 2,700p following the company's sale of its five-star Hong Kong hotel for US$938 million.


For the latest in the hospitality industry, please visit: http://www.hvs.com/. You are also welcome to contact the following personnel.
Russell Kett, Chairman – HVS London (@russellkett) rkett@hvs.com
Charles Human, CEO – HVS London/HVS Hodges Ward Elliott chuman@hvshwe.com
Simon Tucker Brown, Managing Director – HVS Executive Search Europe & Middle East stuckerbrown@hvs.com
Chris Martin, Senior Director – HVS Hodges Ward Elliott cmartin@hvshwe.com
Puneet Kanuga, Director – HVS Hodges Ward Elliott pkanuga@hvshwe.com
Arlett Oehmichen, Director – HVS London aoehmichen@hvs.com
Sophie Perret, Director – HVS London sperret@hvs.com
Tim Smith, Managing Partner – HVS Cape Town tsmith@hvs.com
Demetris Spanos, Managing Director – HVS Athens dspanos@hvs.com
Hala Matar Choufany, Managing Director – HVS Dubai hchoufany@hvs.com
Ezio Poinelli, Director – HVS Milan epoinelli@hvs.com
Louise Fury, Senior Editor and EMEA Hospitality Newsletter Author – HVS London lfury@hvs.com


Disclaimer: Information provided above has been gathered from various market sources. HVS has not independently verified the accuracy of the information provided. Interested parties should not rely on the information as statement of facts and are advised to make their own independent checks to verify the information provided. For further information, please feel free to contact HVS London.

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