• Claudine Montano
  • 07/1/23

Happy Canada Day, everyone! I hope you're all experiencing a safe, fun and sunny weekend wherever you are in our beautiful country 🇨🇦

Are you (like everyone else) itching for a getaway this summer? I have come across the most amazing news that could get a few of you buying your ticket tonight! 

Hola, Madrid! They say. 

Spanish capital shifts hospitality scene to luxury addresses, offering low-key stays, new-generation hostels, and neighborhood apartments. 

In spring 2021, Madrid's downtown underwent a facelift to attract five-star hotels and compete with Paris, London, and Milan in the luxury tourism sector. The city's downtown now features wider pavements, pedestrianized zones, and cleaner streets, aiming to attract more tourists and diversify its offerings.

Deluxe hotels are gaining popularity in Spain's capital, with Four Seasons Hotels opening a 1,500 square meter complex near Puerta del Sol. Marriott International reopened the Santo Mauro Palace and Westin Palace, while Ritz upgraded to the Mandarin Oriental Ritz brand. Universal Music chose Madrid for its first five-star hotel, citing its art museums, theaters, and restaurants as its main draw.

Madrid aims to avoid saturation in Barcelona and the Balearic islands while focusing on the luxury sector for income. By 2023, Madrid will have over 2,700 luxury hotel rooms, up 50% from a decade ago. The city has 33 new hotels in the pipeline, half in the upscale segment, compared to 13 projects in Barcelona. Madrid's hotel investment reached a record 802 million euros in 2022, three times that of Barcelona.

Luxury hotels have experienced a new peak in room rates, with prices rising from 400 euros to 1,200 euros. Occupancy remains stable, with rates at half of Paris and below Rome. Three luxury hotel managers predict more price increases in the coming years. Restaurant chains, such as Robuchon International, are following suit, opening three-floor restaurants in Madrid.

Alejandro Pitashny, an Argentine investor, has opened four restaurants in Madrid since 2018, investing in luxury short-rental apartments and planning to buy a hotel in the city. Madrid's tourism industry is growing, with wealthy Americans and Latin Americans joining the ranks. U.S. visitors to Spain increased 25% in April, while Asian visitors also increased. Madrid's Tourism Director, Luis Martin, aims to capture the highest-spending international tourists.

Spain's Iberia and Air China have increased flights to Madrid, resulting in 15 percent growth in employment since 2019. The tourism sector in Madrid has grown by 15% since 2019, primarily in four- and five-star hotels. The Spanish tourism sector has been focusing on more profitable formats, as some companies have found more profitable routes to compete with low-priced destinations.



sources: skift, reuters


Work With Claudine

With more than a decade of experience, Claudine Montano possesses a strong business acumen of Toronto’s constantly evolving real estate market. Claudine Montano is a Broker of Record with RE/MAX Hallmark Montano Group Realty affiliated with RE/MAX Hallmark.

Follow Me on Instagram