Meridia acquires a Hospitality Project in Ibiza

Real Assets | 09.05.2024

Meridia is pleased to announce the successful acquisition of a hotel strategically situated on the northern coast of Ibiza, in Cala Portinatx, through its Fund Meridia V. 

This deal marks a significant milestone for Meridia V, reaffirming its commitment to the Spanish hospitality sector.

The acquisition of former Hotel Presidente presents an exciting opportunity for Meridia to enter one of Spain's most desirable tourism destinations. Previously a 3-star property, the hotel is now prepared for a comprehensive transformation into a landmark 5-star lifestyle destination with c.225 keys, positioning it at the forefront of Ibiza's upscale tourism market. This endeavor aligns with Meridia's hands-on, niche, specialist approach to unlock long-term value with a track record of transformative asset management in hospitality. The company is committed to positioning assets with the highest ESG standards, with the hotel targeting high qualifications of BREEAM/ LEED Certification.

Spain is a leading international tourist destination, having been the world's top recipient of international tourists in 2023 as it continues to witness double-digit growth in arrivals and spending in early 2024. Meridia's strategy to transform this hospitality project aligns with current market demand and underscores Meridia's commitment to capitalize opportunities within Spain’s compelling hospitality market.

Javier Faus, Chairman & CEO at Meridia, commented: “The acquisition of this hotel marks a pivotal strategic milestone for us. Meridia is a leading platform specialised in unlocking long-term value within the Spanish real estate market. Through its long and solid track record, it has demonstrated that it can deliver strong results across market cycles.”

Victor Iborra, Real Estate Partner at Meridia, stated: "Drawing upon our extensive in-house hospitality expertise in asset and project management, we are poised to embark on a comprehensive refurbishment initiative, transforming the asset into an innovative sustainable lifestyle concept.”

This transaction is Meridia V’s second investment, following its initial acquisition of a portfolio of two premier hotels in Barcelona and Málaga, comprising a total of 213 rooms. Meridia V, our latest Real Estate Fund, focuses on Spanish value-add opportunities. It is primarily centred on creating scalable platforms by aggregating assets and consolidating fragmented sectors through vertically integrated operational real estate. It targets investment primarily revolving around three sectors: Hospitality, Logistics, and Living, with potential additional ventures in highly opportunistic segments, such as brown to green transformation in centrally located offices.

In this transaction, Ernst & Young, Cuatrecasas and Deerns acted as advisors to Meridia; Colliers acted as advisors to the sellers.