FBD Hotels Agree €100m Joint Venture To Expand Spanish Golf Resort
FBD Hotels and Resorts has announced a new joint venture at its La Cala Resort with international construction company Taylor Wimpey, worth an estimated €100 million.
This is the fourth joint venture at La Cala between the two groups.
The joint venture will see the further development of FBD Hotel's La Cala Resort in the Málaga province of southern Spain, with some 280 additional units plans to be constructed on the site, with 90 plots entirely owned by FBD Hotels, while 190 plots owned 50/50 by FBD and Taylor Wimpey.
La Cala Resort, situated on 1,000 acres of the Costa del Sol, is one of Spain’s most popular golf resorts, with three championship golf courses, extensive residential development, a four-star 107-bedroom hotel, spa and a UEFA-approved football pitch.
The new joint venture follows an initial phase of development by the two companies in 2014, worth €20 million, a second phase in 2016, worth €35 million, which is in progress and a planned third phase worth €70m to start later this year.
FBD hotel's parent company, PLL Property and Leisure, has also announced group EBITDA of €9.92 million in FY 2016, an 8% increase on 2015.
Profits in the group’s leisure business increased 41% on 2015, from €5.52 million to €7.78 million, with Spain contributing significantly to this growth.
The group’s strong performance was also aided by its Irish hotels—Castleknock Hotel & Country Club, Co Dublin and Faithlegg House Hotel & Golf Resort, Co Waterford—where profits increased 27% in 2016 compared to 2015. FBDLL’s sale of Tower Hotel, also in Co Waterford, contributed a profit of €1.6 million, in addition to Group EBITDA.
Looking forward, FBD Hotel's Castleknock Hotel & Country Club 46-bed extension, worth €7 million, is due to open in December this year.