US-based conference centre specialist Dolce International and Spanish property developer MedGroup have sold its resort near Barcelona to Inchydoney Partnership for Eu61m.
The Irish fund already owns four luxury hotels in Ireland and has stakes in another three hotel properties in Ireland. The Dolce Sitges resort is the start of an ongoing relationship, said Inchydoney's chairman Seamus O'Mahoney.
The resort, which opened in October 2004 was purpose built for conferences, meetings, incentives and special events but it also caters for leisure travellers.
Inchydoney, which is headed by Des O'Dowd as well as O'Mahoney, is targeting five-star properties across Europe. It said it is set to sign other deals before the end of 2006.
The potential of conference centres as investment opportunities was highlighted six months ago with the sale of Initial Style Conferences – now Verve Venues – for £325m.
Rentokil sold the 29 centres on 24 sites, the market leaders in the UK, at a multiple of almost 11 times 2005 EBITDA of £30.7m.