Lagos, Portugal – December 16, 2024 – Another major hospitality investment is set to grace the Algarve coast. Sonae Sierra and PGIM Real Estate have announced a €60 million investment in a new luxury resort in Meia Praia, Lagos, slated to open its doors in 2027.
This marks the second "strategic investment" for the joint venture between Sierra, the real estate arm of the Sonae Group, and global property manager PGIM Real Estate. Following the acquisition of the Cénica Porto Hotel, a five-star property in the heart of Porto in April, this project solidifies their commitment to the hospitality sector.
The upcoming resort, nestled on the beachfront in the Algarve, will encompass 158 units, including a hotel and residential apartments, and will be managed by a leading international luxury brand.
Construction is slated to commence in the first quarter of 2025, with the grand opening planned for 2027.
A Luxurious Escape
The Lagos resort will offer breathtaking panoramic sea views and boast approximately 17,000 square meters of gross construction area. Amenities will include indoor and outdoor swimming pools, a state-of-the-art spa, sophisticated dining options, and inviting leisure areas.
"The design, seamlessly integrated with the natural landscape, celebrates the unique essence of the Algarve, creating an exclusive experience for couples, families, and individual travelers," the developers stated.
Driving Growth
This investment is backed by Iberian Hospitality Solutions (IHSP), a Lisbon-based asset management and hotel management company.
The joint venture between Sierra and PGIM Real Estate aims to "acquire, develop, and manage differentiated hotel assets" with a combined gross added value of approximately €200 million. Their focus will be on acquiring hotels of significant size in established destinations, implementing strategies to maximize value creation.
A Commitment to Excellence
Luís Mota Duarte, Executive Director of Investment Management at Sierra, emphasized the company's dedication to "diversifying its portfolio with high-potential assets," reinforcing its presence in "strategic sectors" such as hospitality.
"The choice of the Algarve, coupled with the profile of this project, reflects our ambition to contribute to the development of exceptional tourism in Portugal," he added.
This new luxury resort is poised to further enhance the Algarve's reputation as a premier tourist destination, attracting discerning travelers from around the globe.
[Copyright (c) Global Economic Times. All Rights Reserved.]
