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Spanish investment trust Atom Hoteles sells Tenerife hotel for €110m

Transaction marks company's third hotel sale of the year
The 409-room Hotel Labranda Costa Adeje in Tenerife has been sold for €110 million. (Atom Hoteles Socimi)
The 409-room Hotel Labranda Costa Adeje in Tenerife has been sold for €110 million. (Atom Hoteles Socimi)
Hotel News Now
December 20, 2024 | 2:30 P.M.

An unnamed Canary Islands-based family office purchased the 409-room Labranda Suites Costa Adeje in Tenerife, Canary Islands, for €110 million ($114 million).

The seller is Atom Hoteles SOCIMI, a real estate investment trust co-founded in 2018 by Bankinter Investment and GMA Capital and managed by GMA.

The joint venture, the first REIT to be formed in Spain, acquired the property in Oct. 2019, according to CoStar data and an Atom Hoteles news release.

Since then, it has renovated and repositioned the hotel to fetch rate, revenue and profit gains, according to the company.

Atom Hoteles is a publicly listed SOCIMI, the Spanish acronym for a Spanish REIT, that is focused on Spanish hotels.

According to CoStar data, Atom owns 24 hotels with nearly 6,000 rooms.

The REIT bought the Labranda Suites Costa Adeje, in the Adeje district of Tenerife, for £60.1 million ($75.6 million) in 2019. That deal also included a second hotel, the 125-room Labranda Costa Mogán on Gran Canaria, another island in the Canary Islands archipelago.

Spanish hotel group H10 Hoteles bought that hotel in May of this year for £27.2 million ($34.2 million), and it is now named the H10 Costa Mogán, according to CoStar.

Also in 2024, Atom sold the 181-room EXE Coruña, in La Coruña in the province of Galicia on the Spanish mainland, to a private Spanish investor for €17.2 million ($17.9 million).

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