Millenium Hospitality Real Estate Socimi has purchased the Iberostar Las Letras Gran Vía hotel in Madrid, located at number 11 Calle Gran Vía, for a total amount of 70 million euros plus transaction costs. The purchase of said asset has been carried out entirely with own resources. The acquired hotel, with 109 rooms, it has a privileged situation, since it is located practically at the confluence of Gran Vía and Alcalá streetstoday the cultural and commercial epicenter of the Spanish capital, where some of the most important international luxury hotels are also located, to which the future JW Marriot, Zorrilla 19 and Nobu Madrid hotels, also owned by MHRE, will soon be added.
It is therefore the fourth building that the Socimi has in the most prime and valued area of Spain, establishing itself as the largest owner of luxury hotel assets on Madrid’s new golden mile. Following the acquisition of this iconic asset, Millenium reaches 12 assets for an approximate value of 550 million euros.
In the coming months, Millenium plans to incorporate new assetsall of them of high quality and value potential, with the aim of completing the investments planned after the second disbursement of the capital increase carried out last May.
Before the end of 2022the company plans to inaugurate the JW Marriot hotel, located in Plaza de Canalejas in Madrid, which will be followed in 2023 by the Nobu San Sebastián hotel, the hotel that will be located in the recently acquired building on Calle Zorrilla 19 in Madrid and the Hotel Plaza San Francisco in Seville.
In addition, intends to complete the investment process, which began with the capital increase in July 2021 and with which it intends to achieve a portfolio GAV value in the short-medium term close to 1,000 million euros. To this end, it has a pipeline of approximately 500 million euros, made up of assets fully aligned with the company’s strategy in terms of quality and return potential. The company’s short-term plans include joining the Continuous Market, with the aim of improving liquidity and visibility of the value on the Stock Market.
