US fund invests 40 million euros: revolution in Portuguese tourism!

US fund invests 40 million euros: revolution in Portuguese tourism!

A US fund has announced that it will invest 40 million euros in Portugal's tourism sector. This decision comes as part of a pan-European expansion strategy by Room00, a company specializing in the development of hotel properties. According to a report by The Portugal News, this investment paves the way for the acquisition and renovation of hotels in key cities such as Lisbon and Porto.

Room00, founded in Madrid in 2012, has an ambitious goal: to add over 200 properties with a total of 15,000 rooms in Southern Europe and 20 properties with 1,000 rooms in London over the next four years. The first tourism unit in London is scheduled to open by the end of the year, underlining the company's growth ambitions.

Focus on Southern Europe

The planned investments are strategically focused on Spain, Portugal and Italy. Room00 aims to build a portfolio that includes both state-of-the-art hostels and boutique hotels. Among the company's various brands are Room00 Hostels, Toc Hostels and Letoh Letoh, all of which are characterized by their modern design and central location.

A unique feature of Room00's growth strategy is that it is based on hotel rental and management contracts, while also offering the opportunity to acquire properties directly. For the Italian market, Room00 has agreed to partner with Kryalos SGR to structure a dedicated real estate investment vehicle.

Confirmation of the business model

CEO Ignacio Requena describes King Street's investment as a validation of the entrepreneurial model and an opportunity to accelerate the company's growth. King Street's Paul Brennan highlights Room00 as a strong, innovative and scalable platform within the European hospitality industry.

Another real estate fund manager is currently being selected for the Portuguese market, details of which are not yet known. These developments demonstrate the importance of tourism to Portugal's economic recovery and growth as the country increasingly positions itself as an attractive destination for investors. Further information about private equity and independent investments is available here GRCIM to find.