Garrigues has advised Meridia on its alliance with B&B Hotels to develop a platform of budget hotels with high ESG standards in Spain. The legal team has been formed by Estefanía Iceta (partner) and Ferran Ribera (associate).
With an expected investment of 200 million euros, Meridia will acquire land on the outskirts of major Spanish cities to build 100- to 200-room hotels, which will be leased to B&B Hotels on a fixed-contract basis. Meridia will develop this strategy in collaboration with Lexxa Hotels, which will assist in identifying opportunities, executing development work, securing financing and managing the exit.
B&B Hotels is accelerating its expansion in Iberia, where it already operates 45 hotels in Spain and 11 in Portugal, offering more than 5,000 rooms. Meridia will become a key financial partner, supporting the expansion through its scalable program. The hotels will be developed and operated according to the highest sustainability standards and will always be certified with internationally recognized credentials, such as LEED or BREEAM.
Through its Meridia IV fund, Meridia has already made the initial investments for this program, acquiring four plots: one in Vallecas (Madrid), two in Seville and one in Vilaseca (Tarragona). The four properties to be developed will have a total of more than 500 rooms and are expected to be operational from 2024. Meridia continues to analyze similar operations in locations with high demand for this type of product and expects to materialize them in the coming months.
Hector Serrat, Meridia’s Real Estate Partner, commented: “Meridia continues to strengthen its commitment to the hotel sector through professionalized scalable platforms, where operational management is crucial. The resilience of the sector, the platform’s growth potential and the proven liquidity for this type of product make this project a great opportunity. We are proud to have partnered with B&B Hotels and Lexxa, leading companies in their respective fields, to develop this project.”