MEXICO CITY, Aug. 27, 2018 ā Grupo Hotelero Santa Fe, S.A.B. Of C.V. (BMV: HOTEL) ("HOTEL" or "the Company"), one of the leading companies in the hotel industry in Mexico, announces the signing of a contract to acquire 50% of the CleviĆ” Grand Leon hotel. The 5-star hotel which is in its final stages of completion is located in Leon, Guanajuato and has 140 rooms. Currently brand alternatives for the property are being evaluated.
The value of the asset is Ps. 383 Million. Out of the total investment, Ps. 127 million are debt and HOTEL contributed Ps.128 million which represent 50% of the equity and will consolidate the hotel in its financial statements. The other 50% equity stake will remain with the group of private Mexican investors who previously owned the hotel.
The property is in āPuerta BajĆoā, a premium location in a mixed-use real estate development including a shopping mall, residential apartments and office space. It is in the north of the city in the āzona doradaā one of the fastest growing areas in the city.
This acquisition is aligned with our diversification strategy which contemplates growth in the urban hotel segment with local partners. Including this transaction, the Companyās portfolio will reach 26 hotels and 6,490 rooms in 17 cities in Mexico, including hotels currently in construction or expansion. The Company will continue seeking and analyzing investment opportunities in hotels and properties as well as third-party hotel management contracts in the ordinary course of business.
