Thomas Cook : reaffirms commitment to Spain with major hotel ...

Thomas Cook reaffirms commitment to Spain with major hotel investment programme

June 05, 2019

Thomas Cook, one of the world's leading holiday companies, is set to invest €40 million in its managed own-brand hotels in Spain through to Summer 2020, signalling a renewed commitment to its number one holiday destination.

The investment programme, unveiled at the official launch of Cook's Club Palma Beach, one of Thomas Cook's 20 own-brand hotels to open this year, is part of the company's continued drive to grow its own-brand hotels and resorts business. With more than 50 hotels and 12,000 rooms across its eight brands in Spain, the hotels and resorts business is now ranked as one of the country's top five non-domestic hotel chains.

Thomas Cook's hotels and resorts business sits at the heart of the 178-year-old holiday group which this year will bring a total of 4 million holidaymakers to Spain from 15 European countries. Last year, the group opened a new office in Palma which is home to around 650 people across its finance, in-destination and hotels divisions. Overall, Thomas Cook employs nearly 2,500 people across Spain.

Cook's Club Palma Beach opened recently following a multi-million pound renovation to transform the former smartline Lancaster into a 318-room affordable design hotel aimed at attracting a new generation of travellers to Thomas Cook - and to this region of Majorca. The hotel sits at the heart of a changing Playa de Palma area and is designed to attract holidaymakers who favour style, great food and drinks and good music at an affordable price.

In total, 10 own-brand hotels will undergo significant refurbishment works to raise their standards as part of a concerted drive by Thomas Cook to maintain the popularity and appeal of its most well-established Spanish destinations.

The hotels include Casa Cook in Ibiza which will open this summer, Sunwing Arguineguin in Gran Canaria, Sunwing Fanabe in Tenerife and smartline Cala'n Bosch in Menorca, along with a further five hotels in Majorca including Sunwing Alcudia and SENTIDO Cala Vinas.

Peter Fankhauser, Chief Executive, said: 'Spain has long been a favourite with our customers - we are bringing more than 4 million holidaymakers to the country this year alone and now employ almost 2,500 people across the country and its islands. In a competitive market, we're proud to be working with our valued hotel partners to upgrade and modernise our portfolio to help keep Spain at the top of the list for the next generation of holidaymakers.'

Enric Noguer, Chief of Hotels & Resorts said: 'Our business in Spain goes from strength to strength as we invest in senior talent in our hotels division in Palma and increase the number of hotels that we manage directly. We employ around 1,600 people in Spain in our hotels and resorts business alone and we intend to grow that over the next couple of years.

'We want to continue bringing our new hotel innovations to Spain and support the continued growth of the tourism industry by investing in great brands and ensuring the well-established destinations are attractive to a new generation of travellers.'

In Ibiza, Thomas Cook is finalising an extensive refurbishment of the former Hotel Acor to open its first Casa Cook hotel in Spain, a five-star boutique lifestyle hotel just outside San Antonio. Thomas Cook's hotel investment fund, established in a joint venture with LMEY, will further invest in the property over Winter 2019/20 to build a new suites-only wing as well as second restaurant and a 50 metre pool . The award-winning boutique lifestyle hotel brand, which was launched three years ago and opens in Majorca next year with the refurbishment of the former Hilton Sa Torre, has been successful in attracting a new audience to Thomas Cook with around three-quarters of all guests new to the company.

Thomas Cook's 252-room Sunwing Arguineguin in Gran Canaria is midway through the refurbishment of all of its rooms, bars and restaurants, as well as significant investment in sustainable technology including solar panels. Next year, a new a-la-carte restaurant and bar will be completed to meet the demand from customers for more upmarket dining experiences.

Next summer, Thomas Cook has confirmed a refurbishment programme to upgrade accommodation and dining facilities at its 241-room Sunwing Fanabe hotel in Tenerife. The hotel, which the company has managed since 2003, attracts more than 12,500 families every year to this popular spot on the island. The upgrade will mean the hotel continues to attract new people as increased competition for the best hotels grows.

Thomas Cook last year launched a hotel investment fund with joint-venture partner LMEY, a hotel development company. Starting with five hotels, the fund has almost doubled in size in the first year to encompass nine properties including one of Thomas Cook's most popular hotels, Casa Cook Kos, Greece. To date, the fund has secured €51 million in funding from CaixaBank, in addition to €40 million from Piraeus Bank.

-ENDS-

About Thomas Cook Group Plc.

Thomas Cook Group plc. is one of the world's leading leisure travel groups, with sales of £9.6 billion in the year ended 30 September 2018. It is supported by 21,000 employees and has 200 own-brand hotels. It operates from 16 source markets and serves over 22 million customers annually. Thomas Cook Group plc's shares are listed on the London Stock Exchange (TCG).