Turkish billionaire seeks buyers for luxury hotels across southern Europe
Ferit Sahenk, seeks buyers for hotels
Sources have told reporters that it is likely that Dogus Holding AS will sell its trophy properties individually rather than as a portfolio
Ferit Sahenk, a Turkish billionaire, and his hospitality company Dogus Holding AS are seeking buyers for luxury hotels with locations spread across southern Europe, with the most notable property among them ranking as the Capri Palace, according to a report from Bloomberg.
This move to sell the properties comes as the company restructures its debt. It is also worth noting that the group owns restaurant chains such as Zuma and Nusr-Et, which is best known for its founder chef’s meme Salt Bae. The company is in discussions, Bloomberg reported, to also potentially sell a list of properties that includes Villa Dubrovnik, Madrid’s Hotel Villa Magna and Rome’s Aldrovandi Villa Borghese Hotel. Much of Bloomberg’s reporting came from sources who did not wish to be identified because of the nature of these private business talks. The firm is also seeking buyers for the Grand Hyatt in Istanbul. Bloomberg also reports that an official representative from Dogus declined to comment.
It’s likely that these trophy properties, some of them formerly owned by wealthy families, will be sold individually rather than as a portfolio, one of the people said. Potential buyers include high-net-worth individuals from Portugal, Spain, Italy, Asia and the Middle East, some of the people told Bloomberg.
The hotels cater to the rich and famous. Capri Palace, for instance, has just 68 rooms but two Michelin-starred restaurants. Its presidential suite, which comes with a private pool, can currently be booked for 8,163 euros ($9,427) per night, according to its website. Madrid’s Hotel Villa Magna is often the scene of photocalls for Hollywood actors, with Rami Malek, Olivia Munn, Denzel Washington and Ryan Reynolds promoting films there recently.
Investors are watching Turkish companies closely amid concern about their continued access to foreign funding after the nation’s currency has plunged in recent weeks. Dogus “is exposed to currency risk through the impact of rate changes on the translation of foreign-currency denominated payables and bank borrowings,” the company said in its most recent financial report.
This is, quite obviously, an ongoing situation with new developments likely to occur in the months to come. It will be an interesting situation for any hospitality stakeholders or hoteliers to continue to keep track of, especially those with holdings located in southern Europe.
Let’s take a look at a few projects currently underway in southern Europe:
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