Sixth Street Enters the Italian Luxury Hotel Market by Acquiring Le Palme Hotel & Resort in Porto Cervo
Main Photo: Le Palme Hotel before the planned refurb.
Date: January 2022
Name: Le Palme Hotel & Resort – to reopen 2024
Location: Liscia di Vacca, Porto Cervo, Costa Smeralda, Sardinia, Italy
Number of Keys: 92
Seller: TBA
Buyer: Sixth Street, that just completed an acquisition of five hotels in Spain in December 2021 as a JV with Pierre & Vacances
Sixth Street, a leading global investment firm with over $60 billion in assets under management, in partnership with Eidos Partners, an independent financial advisory firm, has completed the purchase of the Le Palme Hotel & Resort property in Porto Cervo on the Costa Smeralda in Sardinia, Italy.
The Le Palme purchase is Sixth Street’s first hotel and resort acquisition in Italy and follows the acquisition of five hotels in Spain in December 2021. Eidos Partners will act as operational asset manager as Sixth Street and Eidos comprehensively redevelop the 17,000 sqm property into a five-star ultra-luxury resort with an expected opening in 2024.
Sixth Street and Eidos are in the selection process of a renowned hotel flag and property manager to create a new partnership for the co-management of the ultra-luxury hotel in Porto Cervo.
The Le Palme property is located in Liscia di Vacca in Porto Cervo, the main village of the Costa Smeralda, an important Italian luxury destination. The Le Palme property today includes a private beach, lake, garden, restaurant, pool and 92 hotel rooms.
The new investment is added to Sixth Street’s Italian portfolio that includes logistics, offices, residential, student housing, telecom infrastructure and now hospitality assets. The firm has a long-term view and is committed to further grow its Italian investment portfolio across different industries with a focus on real estate.
Gianni & Origoni, Legance, and EY served as advisors to Sixth Street on the transaction.
Sixth Street’s London-based European real estate team partners with property managers and institutional investors to acquire, finance, and provide servicing expertise for assets across the real estate sector. Founded in 2009, Sixth Street has more than 350 team members including over 180 investment professionals around the world.
Eidos Partners provides independent financial advisory services from its Milan office to companies, entrepreneurs, financial institutions, pension funds, public institutions, institutional investors, including private equity funds, hedge funds and family offices.
Price: Undisclosed
THPT Comment: Sixth Street relatively new to hotels, but clearly like the sector and we suspect we’ll see a lot more of them.
First Seen: Sixth Street press release
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