Axa Buys Remaining 45% of Hilton Diagonal Mar, Barcelona for €70M

Date: November 2017

Location: Barcelona, Spain – 10 mins walk from the beach

Name: Hilton Diagonal Mar, four star

No. of Keys: 433 (20 suites) and conference facilities for 1000 pax.

Buyer: Axa Real Estate has acquired 100% of Hotel Diagonal Mar in Barcelona. The real estate arm of the French insurance company has committed to paying Iberdrola Inmobiliaria €70 million for the remaining 45% of the establishment to become the sole owner of the property, after it paid €80 million in June of this year for the other 55%.

With this purchase, Axa is strengthening its interest in the hotel real estate business in Spain. In Madrid, it acquired Cine Rex on Gran Vía, earlier this year.

In that operation, the insurance company disbursed around €40 million to the firm Equity Inmuebles SL, controlled by the Mazin, Calero and Briones families.

Seller: Iberdrola Inmobiliaria. The hotel was constructed by Iberdrola, after they reached an agreement with Hilton, which has operated the hotel since then.

Deutsche Bank purchased the site, including shopping centre, last year for €495 million.

Price: €150m

Price per Key: €346,420

THPT Comment: This agreement represents the most important in the hotel sector in Barcelona, and one of the most significant in Spain.

According to El Economista, this second payment will have been pre-determined by the two parties in the summer, when Axa’s first investment in the asset materialised.

First Seen: Eje Prime