Barceló Hotel Group has entered into a joint venture with German investment firm KanAm to accelerate its expansion across Western and Northern Europe.
The partnership will target 4- and 5-star business and leisure hotels, focusing on repositioning existing assets and converting underutilized properties, including office buildings, into hotels. Barceló will manage the properties under long-term lease agreements.
The alliance positions the Spanish hotel group to expand its portfolio in key European markets such as Germany, Austria, Switzerland, France, the Benelux region, the United Kingdom, Ireland, the Nordic countries, and Italy. Barceló currently operates around 108 hotels across Europe, including properties in Spain, Italy, Portugal, Germany, Hungary, Poland, Malta, Bulgaria, Slovenia, and the Czech Republic.
Strategic Growth in Europe
Barceló, the second-largest Spanish hotel group, sees this venture as a way to unlock new growth opportunities in a region where demand for high-quality hospitality continues to rise. The company aims to leverage KanAm’s strong presence in European real estate markets to acquire and convert properties in prime locations. According to both firms, the collaboration will enable them to take advantage of adjusted property values across the continent following recent market shifts.
KanAm has prior experience in the Spanish market, having re-entered in 2019 through the acquisition of a portfolio of office assets from insurer Axa. The German firm later sold part of that portfolio, including the Catalonia Justice headquarters, to UK asset manager Franklin Templeton. KanAm described its decision to partner with Barceló as a recognition of the Spanish group’s long track record and operational expertise in hospitality. For Barceló, the venture represents a unique opportunity to repurpose underutilized urban properties in Europe’s largest cities.
Raúl González, Barceló’s CEO for EMEA, said the alliance aligns with the group’s growth strategy of pursuing around 20 hotel openings annually. The company has already achieved this pace in recent years, expanding in the Middle East, Indian Ocean, and Europe. “Our goal is to continue growing in markets where we already have a presence while reinforcing our brand in new destinations with strong demand,” said Raúl González, CEO for EMEA at Barceló Hotel Group.
Financial Outlook and Expansion Plans
Barceló expects to close 2025 as another record year, projecting profits of €300 million and investments of €500 million in acquisitions and asset repositioning. The group’s financial strength, supported by strong performance in its hotel division, underpins its ability to pursue this joint venture and further investments in Europe. The family-owned group has recently reopened hotels in Valladolid and Murcia, highlighting its focus on growth opportunities within Spain alongside its international expansion.
The partnership reflects Barceló’s strategy of balancing growth in established destinations with selective entry into new markets. It follows a series of international expansions in destinations such as the United Arab Emirates, Maldives, Bahrain, Portugal, France, Cape Verde, and Malaysia. Through the joint venture with KanAm, Barceló aims to reinforce its position as a leading European hospitality operator while strengthening its competitive position against larger international hotel groups.
The agreement highlights growing investor interest in European hospitality assets, particularly in the premium segment. By combining Barceló’s operational expertise with KanAm’s investment capabilities, the joint venture intends to pursue acquisitions and conversions that will support long-term value creation. Both companies confirmed that they will prioritize projects with high potential returns in major urban centers and popular leisure destinations across Europe.
The alliance is expected to play a significant role in Barceló’s broader strategy to maintain growth momentum and capitalize on the recovery of Europe’s hospitality market. With rising demand for both business and leisure travel, the group sees significant opportunity to expand its footprint through targeted investments and long-term partnerships.
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