€ 6,850,000
Hotel for sale in Cádiz city, Cádiz
- 4609 m2
- 53
- 53
Description
Overview
A compelling investment opportunity to acquire a fully operational beachfront aparthotel on the Atlantic coast of the Costa de la Luz. The property comprises 53 tourist apartments, a restaurant unit, and 21 private parking spaces, totalling 4,609 m² across 75 registral units.
Asset Highlights
53 fully operational tourist apartments
Restaurant unit and 21 private parking spaces (75 registral units)
Prime beachside location on the Costa de la Luz
Established repeat clientele with low OTA dependency
Year-round demand driven by lifestyle, nature, sports, and family tourism
Independent building configuration allowing efficient operations
Current Operating Performance
Annual revenues: €1.5 – €1.6 million
Operating costs: approx. €0.3 million
Net Operating Income (NOI): €1.1 – €1.2 million
Financials reflect direct management, the most profitable operating structure
Investment Summary
Real estate acquisition: €4.1 – €4.5 million
Business & possession (FF&E, licences, goodwill): €1.4 – €1.5 million
Administration & management fees: €520,000
Professional fees: €494,000
Total investment: €6.51 – €7.01 million
Implied yield: 12 – 14% (direct management, based on current NOI)
Operating Options & Returns
A) Direct management
Maximises EBITDA and NOI
Full control over pricing, distribution, staffing, and guest experience
Target yield: 12 – 14%
B) Continuation with existing operator
Reduced operational involvement
Lease or management agreement structure
Predictable income profile
Target ROI: approximately 11%
Investment Rationale
A rare opportunity to acquire a profitable beachfront aparthotel at a significant discount to replacement cost, supported by strong operational fundamentals and clear value-creation potential:
Strong cash generation with resilient downside protection
Flexible operating and exit strategies
Upside through repositioning, refurbishment, and brand optimisation
Scarce beachfront location in a high-growth coastal destination
A secure hospitality investment combining income stability with long-term upside.
Features
- Hotel
- Bedrooms: 53
- Bathrooms: 53
- Build Size: 4609 m2
- Energy Efficiency Rating: In Progress