5 things to know: 27 November 2018
5 things to know: 27 November 2018
27 NOVEMBER 2018 10:35 AM

From the desks of the Hotel News Now editorial staff:

  • Queensgate picks up £1b hotel portfolio from Grange
  • AccorHotels seeks Orbis buyout
  • Meliá maintains pioneering spirit, CEO says
  • RLH Properties to acquire Madrid hotel for €210m
  • ESA continues asset sales with 14-hotel deal

Queensgate picks up £1b hotel portfolio from Grange: Queensgate Investments has acquired four hotels with 1,317 rooms in London for a total combined price of roughly £1 billion ($1.3 billion) from Grange Hotels, according to HNN’s sister company AM:PM. (Both HNN and AM:PM are owned by STR.)

The properties in the sale include the 433-room Grange St. Paul’s, the 370-room Grange Tower Bridge, the 307-room Grange City Hotel and the 207-room Grange Holborn.

AccorHotels seeks Orbis buyout: AccorHotels is seeking to purchase all of Warsaw, Poland-based Orbis, which AccorHotels described as “the largest hotel operator in Central and Eastern Europe and the exclusive master franchisee of certain AccorHotels brands in the region,” according to a news release. AccorHotels currently has a majority share of the company and is offering up to €442 million ($500.6 million) for the remaining 47.3% of shares.

AccorHotels’ offer of 87 zlotys ($22.92) per share will be open to shareholders between 17 December and 18 January.

In the release announcing the offer, AccorHotels’ Chairman and CEO Sébastien Bazin noted the companies have been in partnership for 45 years, and the buyout will “enable AccorHotels to accelerate its development” in Central and Eastern Europe.

Meliá maintains pioneering spirit, CEO says: With 62 years in the books, it’s an achievement for Meliá Hotels International to say the company is still as pioneering as ever, which is exactly the claim executive vice chairman and CEO Gabriel Escarrer Jaume made while speaking with HNN’s senior reporter Terence Baker.

That trailblazing doesn’t mean making new brands or moving away from its core resort products, Escarrer said, instead it means continuing to refine the travel experience and asserting its dominance in its favored markets.

“We are the 16th-largest hotel company, but the only one that started with resorts, and that remains our main competitive advantage. We are number one in the Mediterranean rim, although we are not in North Africa, and the clear leader in Latin America,” he said.

RLH Properties to acquire Madrid hotel for €210m: Mexico City-based RLH Properties has announced a deal to purchase Hotel Villa Magna in Madrid for €210m ($237.4 million) from the Doğuş Group, according to a news release. The luxury property is RLH’s first in Spain. The deal is expected to close in mid-December.

“This operation represents an important milestone in our strategy of investing in unique real estate assets for the hotel sector,” Jerónimo Bremer, president of the executive committee of RLH, said in the release. “The acquisition of Hotel Villa Magna, one of the most representative of Europe in the luxury segment, also confirms our enormous confidence in the Spanish market, one of the most dynamic and attractive in the world.”

ESA continues asset sales with 14-hotel deal: Extended Stay America has announced the sale of a 14-property portfolio to a subsidiary of Chicago-based Singerman Real Estate for an undisclosed sum, according to a news release. The hotels in the portfolio are all located within Ohio, Georgia and Illinois. The deal also commits SRE to building or converting seven more hotels to the ESA brand in the future.

ESA officials say they’re now halfway through plans to sell of 150 owned properties. President and CEO Jonathan Halkyard noted in the news release that he looks “forward to discussing additional portfolio sales in the future.”

Compiled by Sean McCracken.

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