Spaniards buy Oxy Capital resort in Vilamoura

Oxy Capital has entered into an agreement with Spanish company HIP (Hotel Investment Partners) for the sale of The Lake Spa Resort hotel, located in Vilamoura, which until now was being managed by venture capital firm Blue & Green.

The Aquarius fund manager, dedicated to tourism recoveries, has controlled this 5-star, 192-room unit since 2014, when it acquired from Amorim Turismo 75% of the sub-holdings that owned the three Lake Resort hotels in the Algarve and the Trojan Design Hotel, as well as the Trojan Casino.

This asset opened in 2005, which had been put up for sale in mid-2017, was the basis of a lawsuit filed by Amorim Turismo, which held a 25% minority interest that gave it preemptive rights. Expresso reported in March 2018 that the company led by Jorge Armindo was claiming two million euros.

In a statement announcing this deal, released on Monday, January 13, HIP, which has a total of 63 hotels with a total of 18,728 rooms in its portfolio, does not disclose the purchase price but assures it will invest in transformation of this hotel in the Algarve, which features an artificial lake, three restaurants and two bars.

“Following the investment, HIP will change the hotel’s brand and operator, decisions that have yet to be defined within the company’s partner ecosystem,” reads the newsroom note, in which CEO Alejandro Hernández Puértolas , guarantees that “Portugal has always been among the target markets, given its climate, gastronomy, infrastructure, culture and landscape.”

Portugal has always been among our target markets, given its climate, cuisine, infrastructure, culture and landscape. Alejandro Hernández Puértolas, CEO of HIP

After starting international expansion with the purchase of five hotels in Greece in September 2019, the Spanish group is close to completing the first acquisition in Portugal – the operation is pending approval by the Portuguese competition authorities – noting that Algarve “is also a destination with a medium / high position perfect for introducing prestigious international brands”.

Founded in 2015 under the auspices of Sabadell Bank, this group was acquired in 2017 by Blackstone Group and a year later acquired Hispania. The business model is based on “asset transformation and upgrading to provide differentiated service”, with hotels, located primarily on the seafront, operated through management agreements by well-known chains such as Melia, Barceló, AMResorts or Marriott.

Source: Time24 News

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