Seven months after announcing the deal, Hyatt Hotels Corp. has opened the Hyatt Regency Hesperia Madrid, marking the Hyatt Regency brand’s entry into Spain. The property was renovated and rebranded from the former Hesperia Madrid Hotel and is managed by Hesperia Hotels & Resorts.
The property is the fourth Hyatt hotel to open in Spain, alongside the Hyatt Centric Gran Vía Madrid, Hotel Sofia Barcelona and Park Hyatt Mallorca.
The hotel has 169 guestrooms, including 33 suites. (Rooms on the top floor have garden terraces and private hot tubs.) Public spaces include the two-Michelin-starred restaurant Santceloni, a member of the Relais & Châteaux and Les Grandes Tables du Monde restaurant associations; La Manzana, serving “seasonal market cuisine”; 12,270 square feet of event spaces, including a 4,510-square-foot ballroom; and a rooftop gym.
Related: Hyatt plans Regency debut for Spain
Located on the Paseo de la Castellana, the hotel is close to banks and embassies along with retail shops and historic sites. The property is a 30-minute drive from the airport.
Madrid's Resurgence
The opening is another sign of Madrid’s—and Spain’s—resurgence from the global financial crisis that stymied development for several years. As reported in August, Madrid is Spain’s top destination in terms of visitor numbers, attracting an estimated 10 million tourists in 2018, according to data from international hotel property adviser Christie & Co. Its international airport has seen improved global links, with a record 58 million passengers arriving in 2018, while the city is now a top-ranked location for MICE participants, with 110,000 conference and event visitors last year.
Hotel demand has surged over the past three years and developers are paying attention, investing millions in prime locations to attract wider ranges of demographics. According to an analysis of hotel investment from iChristie & Co., 2018 was a record year for Spanish investment, with €4.86 billion worth of hospitality deals changing hands.
According to the data, a total of 223 transactions (surpassing 185 transactions in 2017) represented an average price per room of €128 and an increase of 24.6 percent of the total volume of investment versus 2017. This positions Spain in second place behind the United Kingdom (where investment is estimated to be £6.5 billion), but ahead of Germany for the first time (where €4 billion has been estimated for the total investment in 2018).