Mandarin Oriental and Olayan Group snap up Madrid's Hotel Ritz
Mandarin Oriental and Saudi Arabian multinational The Olayan Group have bought the Hotel Ritz, Madrid in a joint venture worth €130m.
Each will hold a 50% stake in the venture, having acquired all of the shares from existing stakeholders Belmond Spanish Holdings and Landis Inverisones.
The hotel is set for major renovation in 2017, including the addition of new restaurants, bar and a spa, estimated to cost around €90m.
Mandarin Oriental will be responsible for managing the hotel in the long term.
“We are pleased to join with Olayan for this project, which presents an exciting opportunity to extend our portfolio to another key European capital city,” said Edouard Ettedgui chief executive of Mandarin Oriental.
“This beautiful hotel will complement our award-winning property in Barcelona, and both should benefit from the overall economic recovery in the country,” he added.