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Blackstone is preparing €500M investment to refurbish hotels
15 April 2019 | Vanessa Sousa

American Blackstone is preparing a 500 million euro investment to refurbish and reposition the 62 hotels it has in Spain.

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These operations will be carried out through Blackstone’s investment Hotel Investment Partners (HIP), reports Spanish newspaper Expansión.

This investment, which will extend over the next three years, is aimed at increasing the hotels’ occupancy rates. Alejandro Hernández-Puértolas, HIP’s CEO, explains to Expansión that «the sector’s current challenge, to which we are committed, is to invest quality».

The previous 100 million euro investment, used to refurbish the hotels (around 2.792 rooms) was a reflection of that. The numbers show that, in just two years, the hotels which invested on improving their quality, increased their occupancy rates in 21%.

In total, HIP’s portfolio has 18.000 rooms, which makes it the largest hotel owner in Spain. The assets are located in several cities in the country. Most of them are located in holiday destinations, such as the Canary and Balearic Islands. About a quarter of the assets are located in cities such as Madrid and Valencia.

For the future, Blackstone plans other routes for HIP. The should invest in the acquisition of more hotels, not only in Spain but also in Portugal.

 

Photo: Hotel Investment Partners