Pygmalion and CBRE IM are looking for a new owner for 9 hotels in Spain

British origin Pygmalion and property manager CBRE Investment Management (CBRE IM) brought to market portfolio of nine hotels in Spainoperated by the Silken Hoteles chain, worth between 240 and 250 million euros, according to information published by the economic newspapers Cinco Días and El Confidencial.

Nine of the hotels up for sale were previously owned by the development group. Urvasco and were purchased by Pygmalion and CBRE IM in 2018. As HOSTELTUR wrote then, this operation allowed CBRE IM to enter the Spanish hotel market for the first time.

The four-star hotels have more than 1,600 rooms and are located in Seville, Madrid, Bilbao, San Sebastian, Santander, Tenerife, Valladolid and Ciudad Real. The establishments were repositioned.

Additional information

– CBRE GIP and Pygmalion are buying nine hotels in Spain from the Urvasco group.

The following assets managed by Silken are up for sale: Al Andalus Palace from Seville, Amara Plaza in San Sebastian, Indauchu from Bilbao, John of Austria from Valladolid, Madrid Gate from Madrid, Alfonso X from Ciudad Real, Santander Colosseum, Santander River And Atlantis from Tenerife.

According to El Confidencial, the chain’s main asset is the Silken Al-Andalus Palaces hotel, which has 623 rooms in Seville and has a value close to 100 million euros, so “it represents almost 40% of the entire ‘portfolio valuation’.”

Another 50% comes from establishments Puerta Madrid, Indaucho Bilbao and Amara San Sebastianand the remaining 10% is distributed among hotels in Santander, Tenerife, Valladolid and Ciudad Real.

Silken Hotels has signed a long-term agreement and it has not yet been confirmed whether the sale of this portfolio will mean a change in hotel operator.