Atalaya y Summum se unen para movilizar 2.000 millones en hoteles

Atalaya y Summum announce partnership to mobilize €2 billion in hotel investments

Atalaya Hospitality, a new specialized vertical in the hotel sector, has joined forces with Summum Hotel Group, a leading multi-brand hotel chain in Spain, to launch a platform called AtalumHospitality. The joint venture aims to attract institutional capital and invest up to €2 billion over the next five years in the purchase and transformation of hotel assets, primarily in Southern Europe.

AtalumHospitality will structure and manage projects financed with third-party capital, mainly from family offices and investment funds, as well as debt when appropriate. The company plans to participate as a direct co-investor in operations, with an estimated contribution of 3% to 5% of the capital. This response addresses investors' needs to share risks and returns with other participants.

Currently, AtalumHospitality is analyzing over 50 opportunities across various development stages. Co-founder and partner Jairo González Monje explains that instead of a single fund or pooled portfolio, acquisitions will be structured through independent vehicles for each operation. This approach allows for tailored vehicles and services for each opportunity, growth through new projects and mandates, flexibility during rotation periods, and the ability to accommodate different profiles of institutional investors.

The platform will focus on outdated or underperforming hotels that have fallen out of the market due to property, operator, or market-related circumstances. It will also target hotels that, although well-positioned, have become obsolete and require capital expenditures and operational transformation to improve performance, increase prices, and optimize operational margins.

The geographical focus is on Southern Europe, with a primary concentration on Spain and Italy, as well as Portugal. González notes that the platform will cater to the general hotel market but detects a higher concentration of attractive opportunities in the vacation sector compared to urban areas, although urban opportunities and mixed-use venues with high demand are not being ruled out.

Atalaya Hospitality aims to support and accompany hotel projects throughout their investment cycle, adapting the structure and services to the characteristics of each asset. Meanwhile, Summum Hotel Group will bring its expertise in hotel management and operation to the new platform, participating from the moment an operation is studied until income management, distribution, profitability, costs, and teams are managed, as well as pre-opening and repositioning processes.

Summum manages a portfolio of 47 hotels, with 42 in operation and five in development, generating over 5,400 rooms under management, more than €170 million in managed income, and over €1.1 billion in hotel asset value.