Bain Capital Credit and Stoneweg Hospitality acquire 168-room Hotel Don Carlos in Ibiza
Bain Capital Credit’s special situations strategy became “Bain Capital Special Situations” in Fall 2022.
London/Madrid/Geneva, February, 17, 2022 - Bain Capital Credit, LP (“Bain Capital Credit”) and Stoneweg Hospitality (“Stoneweg”), via their real estate hospitality joint venture (the “JV”), have acquired the Palladium Hotel Don Carlos in the coastal town of Santa Eulalia del Río, Ibiza.
The four-star hotel has 168 rooms, 32 of which are suites, and is located 20 minutes’ drive from Ibiza airport. The seafront location has direct beach access and is surrounded by mountains, a lush pine forest and the Santa Eulalia river. It has excellent facilities including two restaurants, a bar, gym and a large 250 sq m swimming pool.
The JV plans to reposition the hotel towards a lifestyle concept, opening up the communal areas towards the sea and establishing innovative dining options. Palladium Hotel Group will continue to manage the hotel until the end of the 2022 season, when the renovation of the hotel and management by a new operator will begin.
Fabio Longo, Managing Director of Bain Capital Credit: "Palladium Hotel Don Carlos is a great hotel in a prime location. Our experience in the Spanish hotel sector will allow us to strategically invest in its facilities and rehabilitate the venue to its full potential, in partnership with Stoneweg."
Miguel Casas, Managing Director of Stoneweg Hospitality, said: "This is our third hotel acquisition with Bain Capital Credit so far this year, which is testament to the strength of our on-the-ground relationships and our commitment to the hospitality sector, where we continue to see exciting opportunities to acquire high-quality, well-located assets with significant value add potential. We look forward to working with them on this latest project and towards the delivery of robust returns to our investors."
This is the JV’s third acquisition in 2022 following the purchase of Hotel Los Monteros SPA & Golf Resort in Marbella and Hotel Mimic in Barcelona. Last year the JV acquired the Andalucía Plaza hotel complex in the heart of Puerto Banús, Marbella, which is currently undergoing a complete transformation to convert the site into a Hard Rock Hotel with 384 rooms, including 50 suites. Hard Rock Hotel Marbella is expected to welcome its first guests in June this year.
About Bain Capital Credit:
Bain Capital Credit (www.baincapitalcredit.com) is a leading global credit specialist with approximately $52 billion in assets under management. Bain Capital Credit invests across a full spectrum of strategies, including leveraged loans, high-yield bonds, distressed debt and special situations, private lending, structured products, non-performing loans, special situations real estate and majority and minority equity stakes. Founded in 1998 as a private, employee-owned firm, Bain Capital Credit’s experienced team of over 150 investment professionals seeks to identify attractive equity and credit investment opportunities across North America, Europe, and Asia-Pacific. In addition to credit, Bain Capital invests across asset classes including private equity, public equity, real estate and venture capital, and leverages the firm’s shared platform to capture opportunities in strategic areas of focus.
Stoneweg (www.stoneweg.com) is a real estate investment adviser and asset manager established in 2015 and headquartered in Geneva, Switzerland. The firm leverages in-house local operational teams to source, develop and manage real estate investments. To date, Stoneweg has executed and advised on almost €5 billion of real estate investments across different sectors including developments. Stoneweg expertise includes both equity and debt strategies, advising its client base of financial institutions and family offices across a range of structures including club deals, joint ventures, co-investments and funds. The firm’s investment philosophy is driven by a bottom-up approach to project selection, utilising Stoneweg’s own teams on the ground and deep networks to seize the best opportunities. Stoneweg has a dedicated presence in Switzerland, the United States, Spain, Italy, Andorra and Ireland, enabling many of the operational aspects of the firm’s investments to be carried out in house and locally. Stoneweg has completed more than 300 acquisitions alongside best-in-class partners since 2015.