Ennismore will take six hotels, with three going to the
all-inclusive Rixos brand, while 11 will go into Accor’s Premium Midscale &
Economy brands.
PARIS – Accor has entered into exclusive negotiations with
Royal Holiday Group to acquire 17 management agreements (3,200 keys). The
portfolio includes six existing all-inclusive resorts in Mexico (1,660 keys) to
be managed by Ennismore, as well as 11 existing resorts and city hotels in
Mexico, Argentina, Puerto Rico and the U.S. (1,540 keys) to be managed by Accor
Premium Midscale & Economy Americas.
The total consideration of $79 million will be paid in
phases, and all of it will go towards partially funding the $130 million
renovation plan of the properties within the next 30 months.
This asset-light platform with hotels located in beachfront
resort destinations will allow Accor to further increase its brands presence in
Americas. With this addition, Accor will accelerate growth in this region,
particularly in Mexico and continue developing its all-inclusive resort
portfolio, which it said has seen a 25% CAGR on network in the last three
years.
Mexico has been a key gap in Accor and Ennismore’s presence, and this acquisition marks a pivotal step forward – enabling us to grow our footprint rapidly, unlock future development opportunities, and scale our all-inclusive platform in one of the world’s most dynamic and high-margin markets.
Phil Zrihen
The addition of these six new resorts in Mexico reinforces
Ennismore’s broader strategic focus on accelerating its growth in the Americas, which will have
a network of more than hotels 70 open and in the pipeline. To further solidify
the group’s commitment to the region, it has opened an office in Cancun to
support its properties in Mexico, which includes Our Habitas Tulum, SLS Cancun
and Mondrian Mexico City.
“Mexico has long been a region where Accor and Ennismore
have been underrepresented, and therefore, we have looked at opportunities to
accelerate our growth,” Phil Zrihen, group head of Americas for Ennismore, told
Hotel Investment Today.
Three properties in Cancun, Cozumel and Puerto Vallarta will
be reflagged as Rixos Hotels post-renovation, marking the brand’s entry into
the Americas. Three further resorts in Cancun, Acapulco, Ixtapa will remain
under the existing brand. The 11 other properties will be rebranded
post-renovation under either the Swissôtel, Mercure, Mercure Living or ibis
styles.
“The Americas is a strategic priority for Accor and
Ennismore, and we’re accelerating to establish ourselves as the leading force
in lifestyle hospitality across the region,” Zrihen said. “We already have a
strong advantage with our founder-built lifestyle brands and are committed to
building on that momentum to keep ahead of the curve. Mexico has been a key gap
in Accor and Ennismore’s presence, and this acquisition marks a pivotal step
forward – enabling us to grow our footprint rapidly, unlock future development
opportunities, and scale our all-inclusive platform in one of the world’s most
dynamic and high-margin markets.”
Gaurav Bhushan, co-CEO of Ennismore, added, “Since Rixos
joined Accor in 2017, it has more than tripled its network, reinforcing its
position as a global leader in the luxury all-inclusive space, with dynamic
growth across the Middle East, Egypt, and Turkey. This strategic acquisition
marks Rixos’ bold entry into the Americas — a pivotal move into one of the
world’s most promising all-inclusive markets. As Ennismore accelerates the
global expansion of its all-inclusive portfolio, the addition of these six resorts
to our collective will significantly enhance our reach into the midscale
segment, unlocking new avenues for growth in key destinations worldwide.”