Although the waters are coming to fruition, the truth is that, as confirmed by Hospitality Insights, “this will mark the end of an era for the chain, which has struggled in recent years to differentiate itself from its more corporate competitors. A chain that began its journey in 2005 and, according to the latest edition of Hosteltur ranking of hotel chainsaddition 27 hotels with nearly 2,200 rooms; In addition to the industry Be companion.
Already last year, when Room Mate avoided bankruptcy thanks to the debt fund of the son-in-law Juan Roig, Atitlanits founder and president admitted that he had to resort to alternative financing because “with the banks we can’t borrow more because in our sector they don’t give money, so Obtaining this credit, with market conditions for a type of debt like this, was very complicated”.
Room Mate faces the perfect storm, brought on by the aftermath of the pandemic, issues with its major shareholder after Sarasola itself, and SEPI’s rejection of its bailout.
Room Mate also has problems with its second shareholder, Sandra Ortegadaughter of Amancio there owner of 31% of the capitaland already from February 2021 studies the alternatives to leaving the company. But the situation got even more complicated when Sandra Ortega sued her former manager for Room Matewhereas the chain accused him of rigidity in the eviction of two of its hotels in Miami and New York.
The The rejection by the SEPI of its rescue nor did it contribute to its stability (Room Mate asks for 52 million euros from SEPI and the sector adds at least 1,300 million).
Who are the possible new owners?
According to Hospitality Insights, they admit that at the moment they still have “it’s hard to say which direction potential new owners will take at Room Matebut both have a long history in hotel investment”.
Angelo Gordon It has a large portfolio of hotels. The latest to join us are five establishments from Paristhanks to an agreement signed in 2019, and another acquired in hong kong with a joint venture partner weave life for $115 million.
Latest news from Room Mate in:
– Room Mate files for bankruptcy with guarantees of continuity
– Room Mate accuses Sandra Ortega of rigidity in the eviction of her hotels
– Room Mate negotiates the entry of a new investor
– Sandra Ortega files a complaint against her former Room Mate manager
– Kike Sarasola enters Rome with its first hotel and apartment complex
The owner and operator Westmont Hotel Group he also has an excellent track record. Last March, he reached an agreement with Invesco Real Estate take over the operation of a portfolio of 13 chain stores InterContinental Hotel Group (IHG) and Germany and the Netherlands.
Hosteltur contacted Roommatebut they have declined to comment about; the same fate that Hospitality Insights suffered with the chain, Angelo Gordon and Westmont Hospitality.