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case as to why Aimbridge needed to be in Spain . His reasons were many , with one of the main factors being deal-making in the region . “ For the last five years , Spain has seen year-on-year record transactions in hospitality , 58 % of those funded from outside of Spain and driven through private equity ,” he said .
Unlike the U . S ., Spain is dominated by leases , whereby the owner of a hotel property — the landlord — will rent the property to the tenant — or hotel operator — who then uses the lease to run the hotel business . The one catch , that Anderson pointed out , is that Aimbridge doesn ’ t do leases . However , as the hotel management agreement model evolves and matures across Europe , and with U . S . buyers making inroads , it makes eminent sense for Aimbridge to be in the thick of the hunt for deals .
“ If there ’ s all those transactions , we need to be there because our partners are already owners within the U . S . — the same private equity firms who saw Spain also as a key strategic market ,” Anderson said . Aimbridge made a commitment to Spain and deployed resources there , a bit of the chicken and the egg scenario , Anderson called it . “ You ’ ve got to be present ,” he said .
Anderson calls the Grand Luxor Hotel & Village “ a great one ” because of its size and scope and huge demand generator in the next-door
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Terra Mitica theme park . He added that Aimbridge would put the hotel on the MICE map . ( MICE stands for Meetings , Incentives , Conferences and Exhibitions .)
Anderson said they are drumming up more projects in Spain , with approximately 28 active projects Aimbridge is involved in within the last 12 months .
DEALING Management companies win when they win over owners , who want to put their assets in the hands of operators that know how to both drive top-line revenue and make sure as much of it is dropping down to the bottom line . Hotel management contracts can be as long as 30 years , but , often , when hotels transact , they come so unencumbered , meaning the new owner is free to choose a new brand ( or go independent ) and a new operator .
All reason why hotels changing hands are like blood in the water for the brand companies and third-party management companies that want the contract . “ Transactions are great for our business because investment committees on many of these deals will want to understand what the value add is , the financial KPIs and the nonfinancial — like guest-service metrics . And we ’ re right up there ,” Anderson said .
And heavily resourced , which allows Aimbridge to stand out from some of its competitors . It ’ s what Anderson said makes
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Aimbridge “ a compelling operating partner .” In the EMEA region , Anderson said he has 160 above-property personnel , a large portion in finance and a large part in commercial . “ We ’ re resourced to optimize brand performance . We ’ re resourced to create ,” he said .
Consider Europe , which is a high complex region when you think of owners who own hotels in disparate countries , from France to Belgium to Holland to Spain . Anderson maintains that Aimbridge ’ s financial platform is able to map in exactly the same way , so owners can consolidate across country
In early October 2023 , Santa Maria Group appointed Aimbridge to manage the 402-room Grand Luxor Hotel & Village resort in Spain ’ s Costa Blanca , marking Aimbridge ’ s debut in the country .
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and across language . He said performance ramp up to market is crucial and , furthermore , what is “ hugely important ” in transactions is how quickly a transition is and how much time it takes to win market share .
Hotel brand companies , from Hilton to Marriott , Hyatt to IHG , have all pivoted to an asset-light model , where they don ’ t own assets but derive fees by lending their name and intellectual property — the key growth driver for the brands being getting their name and flag on the building . For those hotels considered trophy or more luxury assets , the brands , typically , like to
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