Room Mate Hotels expands its presence with the acquisition of Staying Valencia

Expansion reflects continued growth following 2022 acquisition by TPG Angelo Gordon and Westmont Hospitality

MADRID, July 3, 2024–(BUSINESS WIRE)–Room Mate Hospitality & Leisure, SL (“Room Mate Hotels”), a leading lifestyle hotel brand and property management company based in Madrid, today announced the acquisition of Staying Valencia, a portfolio of boutique hotels and aparthotels in Valencia. This strategic acquisition marks an important milestone in Room Mate Hotels’ expansion strategy, strengthened by the support of TPG Angelo Gordon, a diversified real estate investment and lending platform within TPG, and Westmont Hospitality (“Westmont”), who together acquired Room Mate Hotels in 2022.

Staying Valencia operates a portfolio of 10 boutique properties in Valencia, including the award-winning Helen Berger Hotel, and is renowned for its strong reputation, exceptional customer service and commitment to providing guests with authentic local experiences. This acquisition not only expands Room Mate Hotels’ footprint across Spain, but also strengthens its presence in Valencia, Spain’s third largest city and a thriving destination in the European hospitality market. Room Mate Hotels plans to integrate and rebrand these properties into its family of conveniently located lifestyle hotels.

Since the acquisition of Room Mate Hotels in 2022 by TPG Angelo Gordon and Westmont, Room Mate Hotels has significantly strengthened its financial position and reorganized its portfolio through a program of investments in several hotels. The company is now well positioned to continue its international expansion through new strategic acquisitions, new leases and hotel management agreements.

Jacopo Burgio, Managing Director of European Real Estate at TPG Angelo Gordon, said: “We believe Room Mate now operates from a position of financial strength, with no debt and a target of €40 million EBITDA in 2025 for the combined entity. We are pleased to have helped Room Mate re-establish itself as a leading international hotel chain and look forward to continuing to support the company as it pursues attractive opportunities in the European hospitality sector and beyond.”

Westmont Hospitality added: “Room Mate is on an exciting growth trajectory, supported by a strong balance sheet, an institutionalized management team and a renovated hotel portfolio. This acquisition reflects our ongoing commitment to support the company’s continued expansion in growing hotel and tourism markets such as Valencia through the addition of high-quality assets.”

Kike Sarasola, Founder and Chairman of Room Mate Hotels, said he was excited about the acquisition: “Welcoming Staying Valencia to the Room Mate family marks an important milestone in our journey. We are thrilled to add Staying Valencia to our portfolio of lifestyle hotels located in the city center. Valencia’s rich culture and the company’s welcoming philosophy align perfectly with Room Mate’s values. We look forward to working with the new owners, employees and stakeholders. Together, we are committed to setting new benchmarks for hospitality excellence.”

Room Mate Hotels’ acquisition of Staying Valencia follows the recent acquisition of The Lime Tree Hotel in Belgravia, London, in late 2023, as well as the recent opening of Palazzo Dei Fiori by Room Mate in Venice. With this transaction, Room Mate Hotels will operate 32 properties in Spain, Italy, the Netherlands, the United Kingdom and Turkey. The company is also preparing to launch its “Room Mate Collection” brand, designed for travelers seeking a refined and distinctive luxury experience.

Clifford Chance (legal), Perez Llorca (tax and structuring), Jones Lang LaSalle (commercial), PwC (finance) and Arcadis (technical) acted as advisors to Room Mate Hotels in the transaction. JJL, led by Javier de Miguel, acted as financial and legal advisor to Staying Valencia.

About Room Mate Hotels

Founded in 2005, Room Mate Hotels is a Spanish lifestyle hotel brand and property management company with 32 hotels and approximately 2,200 keys under management in 5 countries and 14 cities. Headquartered in Madrid, Room Mate Hotels employs over 900 people. Known for its dynamic, people-oriented and eclectic approach, Room Mate Hotels offers unique and personalized experiences inspired by local cultures. Renowned designers such as Patricia Urquiola, Lázaro Rosa Violán, Tomás Alía, Lorenzo Castillo and Pascua Ortega, among others, have contributed to the distinctive character of Room Mate Hotels. For more information, visit www.room-matehotels.com.

About TPG

TPG is a leading alternative asset management firm founded in San Francisco in 1992, with $224 billion in assets under management and investment and operational teams around the world. TPG invests across a broadly diversified set of strategies, including private equity, impact, credit, real estate and market solutions, and our unique strategy is focused on collaboration, innovation and inclusion. Our teams combine deep product and sector experience with broad capabilities and expertise to develop differentiated perspectives and add value for our fund investors, portfolio companies, management teams and communities. For more information, visit www.tpg.com.

About Westmont Hospitality

Founded in 1975, Westmont has grown to become one of the world’s largest privately held hotel organizations, with a significant presence in North America, Europe, Africa and Asia. As an owner-operator, it has established alliances with some of the world’s leading hotel brands, including Hilton, Marriott, IHG, Hyatt, Fairmont, Four Seasons, LHW and Choice Hotels. Its portfolio is diversified across 2- to 5-star properties, limited and full service, major conference, apartment, boutique and upscale luxury hotels. For more information, visit www.whg.com.

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Contacts

Media
For the roommate:
Stephanie Przybisch Lozano
[email protected]

For TPG Angelo Gordon:
Julia Sottosanti
[email protected]