KKR-led venture acquires Spain's Intertur Hotels Group

Global investment firm KKR, asset manager Dunas Capital and Alua Hotels & Resorts have agreed to acquire and manage the Intertur Hotels Group, a portfolio of five properties in Mallorca and Ibiza, composing 1,119 rooms. 

The purchase price was not disclosed. 

Intertur Hotels properties include the Intertur Hotel Hawaii Mallorca & Suites Hotel; Intertur Palmanova Bay; Intertur Hotel Hawaii Ibiza; Intertur Apartamentos Miami Ibiza; and Intertur Hotel Miami Ibiza. 

Guillaume Cassou, head of European Real Estate at KKR, said in a statement, “This portfolio of quality assets in strong locations offers a very solid basis to create value in a market benefiting from strong tailwinds. We are convinced that, together with our quality partners, we will be able to create value for our investors. This acquisition represents an exciting first step in KKR’s partnership with Dunas Capital and Alua, and all groups are looking forward to doing more together.”

Alua will manage the hotels once the agreement is closed. The group will also market them under its brand starting in 2018.

Javier Aguila, CEO and co-founder of Alua Hotels & Resorts, said in a statement, “We are delighted to share our expertise in the Spanish market with KKR and Alua. We believe that the Spanish tourism sector currently has great potential, and we are convinced that the combination of the capabilities of the three groups will yield very positive results.”

According to Aguila, this transaction was a key milestone for the hotel group. Within less than two years, the number of rooms that Alua Hotels & Resorts manages rose to over 3,200 in 15 hotels across the Balearic and Canary Islands.

The hotel group is expanding by incorporating three-, four- and five-star hotels and resorts with vacation and leisure experiences in Iberia's main tourist destinations.  

KKR and Dunas Capital were advised by Freshfields, Deloitte, Bird & Bird and Deerns. Intertur Hotels was advised by Bufete Buades.