The center of Madrid is preparing for the arrival of a new five star hotel. Fishmongers of La Coruña will invest 34 million euros in the renovation of three properties (Meneses Building, House of Tomás Allende and Reina Victoria Theater) which will become a luxury hotel establishment around 2027 with rooms averaging 821 euros per night.
Of these 34 million euros (excluding VAT), 22 million will be allocated to the renovation of the hotel which will be managed by Universal Music Groupwhich already manages the UMusic Teatro Albéniz hotel. The remaining 12 million will be intended for the renovation of the theater, according to the financial report presented to Madrid City Hall to which EL ESPAÑOL-Invertia had access.
The business plan proposed in the agreements between Fishmongers of La Coruña and Universal Music Group is determined by a series of basic premises, which must have a minimum of 69 rooms, a restaurant with a capacity of 270 people, a minimum of 616 theater seats and the generation of service spaces for the theater in the basement (jackets, stage clearances, installations, costume rooms, etc.).
Likewise, the business plan is proposed over a period of 30 years. The first phase concerns the town planning process, which lasted two years, and the development of the project with the execution of the works, which should last three years.
So he The UMusic Hotel Teatro Reina Victoria could open its doors in 2027. The second phase is the one that gives the hotel company a period of 25 years to manage the property.
During these 25 years of management, the business plan calculated an average occupancy rate of 86% in the hotel and an average rate of 1,129 euros per room. But if we compare this data to current prices, We would be talking about an average price of 821 euros.
An amount which corresponds to the average of six of the major luxury hotels in Madrid with which it will compete head to head. In fact, the UMusic Hotel Teatro Reina Victoria will be the third hotel in the Plaza de Canalejas, after the Four seasons and the JW Marriott.
So, sleeping at the Pescaderías Coruñesas hotel will cost more than sleeping in two of the best Marriott hotels: Madrid Edition (621 euros) and JW (762 euros). It will also be higher than the average price of Santo Mauro (787 euros). Instead, it will stay below the Ritz Mandarin Oriental (938 euros), the Four Season (924 euros) and the Villa Magna (896 euros).
Nevertheless, The calculated average rate of 821 euros will increase little by little. So in 10 years they propose that the ADR (average price) will cost a little over 1,000 euros and in 20 years it will be 1,350 euros.
Said business plan includes an average expenditure estimated at 137 euros on catering and 113 euros on theater during these 25 years of operation. All this does They calculate annual revenues of 47 million euros and expenses of 42 million euros.
With these figures on the table, Universal Music Group should obtain an average annual Ebitda of 5 million euros. In addition, it is expected that it will have to invest 35 million euros throughout this quarter of a century.
Unused buildings
A month ago, Madrid City Council gave the green light to the approval of the Pescaderías Coruñesas special plan for the restoration, renovation and expansion of adjacent buildings located on Calle del Príncipe 1 and Plaza de Canalejas 3 (which correspond to the House of Tomás Allende and the Meneses building, respectively), as well as the theater of Carrera de San Jerónimo, 24.
These are three historic buildings built between 1914 and 1916.. In the two buildings located in front of Plaza de Canalejas (Príncipe 1 and Plaza de Canalejas 3), tertiary office activity has been carried out. For example, the Casa de Tomás Allende became better known as the “Crédit Lyonnais building”, because it housed the offices of this banking entity for a long time.
House of Tomás Allende.
Tripadvisor.
And curiously, its last occupation was that of construction offices for the OHL company. the Canalejas Four Seasons Complex project, with which it will compete once opened to the public. Currently, Both buildings were unoccupied.
The San Jerónimo 24 quarry building (Teatro Reina Victoria) has maintained theatrical activity since its origin. However, its facilities and spaces associated with the stage “are in a dilapidated state since they have not been significantly modernized since the 1940s,” notes the economic report of the special plan.
Queen Victoria Theatre.
Flickr.
Only in 1942 was the last major renovation of a theater carried out, inaugurated on June 10, 1916 by King Alfonso XIII and his wife Victoria Eugenia, from whom it took its name.
In short, with the new plan Pescaderías Coruñesas recovers the three emblematic buildings and brings them together under concepts such as culture, hospitality and luxury accommodation offering. In fact, the company is an expert in saving historic places. In 2021, bought the Lhardy restaurant, famous for its Madrid stewwho was in an extreme situation due to Covid-19.
