Canadian Brookfield Buys The Selenta Hotel Group, Including the Mare Nostrum Resorts Tenerife, for €425m

Main Photo: The Mare Nostrum Resort, a collection of three hotels – part of Selenta Hotel Group

Date: July 2021

Name: The Mare Nostrum – three 4 and 5-star hotels the Mediterranean Palace, the Cleopatra Palace and the Sir Anthony, as well as the Sofia and Expo Hotel hotels in Barcelona, and the Don Carlos in Marbella, which are all part of the Selenta Group

Location: Playa de Las Americas, South Tenerife, Barcelona and Marbella – Spain

Number of Keys: 2,150

Seller: The Mestre family were rumoured to be negotiating the sale of it’s hotel chain, Selenta back in February 2021, to an international fund for about €450 million. The group has succumbed to the acute tourism crisis caused by the pandemic….although their spokesman at that time, says this was NOT CORRECT

Buyer: Brookfield has beaten out rival bids from the Stoneweg-Bain alliance and Goldman Sachs to secure a deal for Spain’s Selenta hotels group, according to reports in the Spanish press.

EjePrime suggested the sale price was between €420 and €430 million and includes four properties the Sofia and Expo Hotel hotels, in Barcelona; Don Carlos, in Marbella, and the Mare Nostrum resort, in Tenerife. The Expo Hotel in Valencia is not included according to the story.

Selenta will continue to manage the properties as part of a sale and leaseback deal.

After almost a year of hiatus in the tourism sector in the Canary Islands, investment funds have been studying the market and have made some very tempting offers to hotel owners, whose financial situation has been left in such a bad way by the pandemic that they can hardly meet required payments to stay afloat. There are more than 1,200 hotel establishments that have been put up for sale throughout Spain, more than a hundred of which are in the Archipelago.

Earlier this year Selenta sold the Nobu Barcelona to ASG for €80 million.

Price: around €425m

Price per Key: Just shy of €200k

THPT Comment: Some fab hotels here and not a bad price…for Brookfield.

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