Alternative asset manager Cheyne Capital has provided €63.3 mln in funding to Bain Capital Credit and Stoneweg Hospitality to support their acquisition and redevelopment of the Andalucia Plaza Hotel in Marbella.
Bain and Stoneweg acquired the 400-room complex last June via their hospitality real estate JV, with the aim of renovating it to offer a hotel experience with ‘a first class lifestyle concept’. Financial details were not disclosed at the time, but Spanish media reports put the deal at over €100 mln.
The hotel has two restaurants, three bars, eight meeting rooms and two swimming pools. It will be redeveloped under the Hard Rock brand.
The refurbishment will preserve much of the hotel’s existing building fabric to minimise the environmental impact of the works being carried out.
David Renshaw of Cheyne Capital said: ‘The hotel sector is rebounding strongly from the pandemic and we continue to see attractive opportunities, such as this, where our expertise in providing loans for complex development projects can be best applied. We are pleased to support Bain Capital and Stoneweg in their efforts to regenerate the beautiful Andalucia Plaza hotel into a new destination hotel led by Hard Rock, and to reinforce Cheyne’s commitment to the Spanish real estate sector.’
