Westmont Hospitality, a well-known global hotel operator and asset manager, together with Grupo Lar, co-investor, developer and manager of real estate assets in Spain, have launched a strategic alliance to develop and manage a platform of select service hotels in Spain. This collaboration plans to establish approximately 12 hotels in major Spanish cities, totalling 2,500 beds with an investment of 350 million euros.
The objective of this agreement is to capitalise on the opportunities in the hotel market, which is expected to grow steadily in the coming years. Both companies, which have more than five decades of experience in their respective sectors, are already in dialogue with potential investors to expand the project.
Miguel Ángel Peña, CEO of Grupo Lar's Living area, highlights the synergy between Westmont's operational experience in hotel management and Grupo Lar's real estate development capabilities as key to the success of the project. Westmont Hospitality says the partnership with Grupo Lar represents a ‘unique’ opportunity to boost the select service hotel market in Spain. "Together we aim to create significant value by responding to the growing demand for high quality select service properties across the country".
The companies also state that they are currently in talks with potential investors to expand the scope of the project. This agreement marks Grupo Lar's return to the hotel market since the development of NH Abascal in Madrid, reaffirming its interest and capability in this sector.
Specifically, the new platform will focus on the segment known as select service, hotels that adjust the number of services included in order to be able to market at more competitive rates and good value for money.
