ActivumSG purchases Spanish resort for €175m

European real estate investment firm ActivumSG has purchased the recently opened, five-star Fairmont La Hacienda resort in Spain's Costa del Sol for €175 mln.

Hacienda

The deal was made with Spanish REIT Millenium Hotels Real Estate on behalf of ActivumSG Fund VII. 
The resort, acquired as a turnkey property, offers 311 rooms with sea views, including hotel rooms, as well as villas, and luxury residences available for purchase. It features a spa, four swimming pools, seven restaurants and bars, meeting and conference facilities, and access to golf courses. 
ActivumSG plans to leverage its expertise in hotel management to enhance the resort's performance, focusing on sustainability by implementing advanced energy and waste management systems, including solar panels, and pursuing LEED "Gold" certification for the residences. 
The location is near popular destinations like Sotogrande and Marbella, and close to Gibraltar Airport, benefiting from eased travel access due to a recent trade agreement.
Saul Goldstein, founder and CEO, ActivumSG, said: “This transaction reflects our continued conviction in the Spanish hotel sector, which is supported by long-established fundamentals that are further strengthened by longer summer seasons and changing travel patterns. “Our activity in Spanish hotels, with an emphasis on the luxury and convenience segments, is in line with of our wider thematic focus on the European accommodation sectors, covering living, hospitality and everything in between, where there is a shortage of institutional-quality product relative to investor demand.”  
Brian Betel, head of Direct Asset Transactions, ActivumSG, added: “Having only just opened this year, Fairmont La Hacienda is all set to become a world-renowned luxury tourism and golf destination capable of catering to a diverse range of travellers spanning sports, leisure, and corporate events. Our deep local contacts book and intimate knowledge of country-specific market dynamics meant we were able to scope out and close a rare opportunity to acquire a top-quality asset at a compelling entry point while avoiding construction risk as a turnkey project.”  
ActivumSG is a significant player in the European hotel market, managing over €1 bn in assets through development, ownership, and management. 
Their Spanish hospitality investments demonstrate a diverse portfolio, including: the SLS Barcelona, a new 471-room luxury hotel on Barcelona's waterfront; the Nobu Hotel Barcelona, which was renovated and now boasts Spain's highest BREEAM rating; the Odyssey Hotel Group, a white-label operator with a large portfolio of hotels across Europe; the Palacio Solecio, a historic palace in Málaga transformed into a luxury boutique hotel and later sold; the Hampton by Hilton Fira Gran Via, a strategically located new development in Barcelona that was also sold; and the Hard Rock Hotel Madrid, a redeveloped municipal building that was sold in 2022.