Spanish fund manager Azora has acquired seven hotels in Benidorm and Costa del Sol in Spain from Med Playa Group.
Financial details were not disclosed.
The portfolio has a total of 1,670 keys distributed among the Hotel Pez Espada in Torremolinos and the Hotel Riviera in Benalmádena, in Costa del Sol, and throughout the hotels Flamingo Oasis, Río Park, Riudor, Regente and Agir, all located in Benidorm.
Azora said it planned to carry out the refurbishment and repositioning of the hotels for a total of €30 mln to increase their category mainly to 4 stars, while Med Playa Group will continue with the management of the assets for a period of up to 35 years. Azora and Med Playa will continue to collaborate in future investments.
Azora, which formerly managed more than 13,000 keys through Spanish REIT Hispania, said that it considered the hotel sector to still offers numerous investment opportunities for generating added value.
The Spanish firm has reported being in the process of raising a new fund to invest in resort hotels throughout the Mediterranean, and in hostels in Europe's principal tourism destinations.
