Meliá Hotels International and Banca March have expanded their partnership with the acquisition of two hotels in Spain, marking a move in their shared hotel investment strategy. The Sol Tenerife and Innside Palma Bosque hotels, located in Tenerife and Mallorca, respectively, will be repositioned and renovated as part of a strategic joint venture. Banca March will hold a 70% stake in the new entity, with Meliá retaining 30%.
Investment in key Spanish destinations
The two hotels, totaling 784 rooms, are a strategic addition to the companies’ growing portfolio in popular Spanish destinations. The Sol Tenerife, located on Playa de las Américas beach, boasts 522 rooms and expansive common areas. It will undergo a full renovation from 2026 to 2027, eventually rebranding under the Meliá name.
« The new alliance signed with Banca March is part of our strategy of collaborating with partners of the greatest prestige and solvency for the ownership and repositioning of assets, and constitutes the confirmation of a shared success, based on the common trajectory and the values that we both share” – Gabriel Escarrer, President and CEO of Meliá Hotels International
Meanwhile, the Innside Palma Bosque, situated near Palma’s Paseo Marítimo and Bellver Forest, features 262 rooms and will also be renovated in the winter of 2025-2026. These renovations aim to strengthen the market positioning of both properties and enhance their profitability in the medium to long term.
Focus on: Repositioning and innovation
The agreement includes the purchase of stakes from previous partners in these properties, with the total transaction valued at over €140 million. Additionally, around €50 million will be invested in the repositioning and renovation of the two hotels. The new venture follows a successful pattern of cooperation between the two companies, with a previous joint venture in 2023 involving hotels in Ibiza and Fuerteventura.
“this new joint venture represents another milestone in our Co-investment strategy, strengthens our ties with a world-class institution such as Meliá Hotels International and continues to consolidate our position as a benchmark institution for companies in a sector, the tourism and hotel sector, with which we have maintained a close relationship for decades as specialized advisors.” – José Luis Acea , CEO of Banca March
Looking beyond Mallorca and Tenerife
This recent acquisition is part of a wider strategy that includes the ongoing renovation of other properties such as the Meliá Fuerteventura hotel in the Canary Islands. Additionally, both companies have made significant investments in the Sol Beach House Ibiza and Innside Fuerteventura hotels, which are also undergoing repositioning efforts.
These projects underscore the growing relationship between Meliá Hotels International and Banca March, as they continue to focus on enhancing their presence in Spain and expanding their reach across the hospitality sector.
