Tavira’s 4-star Porta Nova hotel (pictured) was forcibly shut down by its lender, 140 guests were ejected, 45 staff lost their jobs, the doors chained shut and security guards were put in place to ensure Novo Banco’s asset was protected.
These events took place in the first week of October 2015, leaving the hotel’s owner, Manuel Simões, incandescent at the bank’s action over a sale and leaseback arrangement that he said could have been resolved by negotiation and that by closing the hotel, there was no cash flow available to make repayments.
Novo Banco’s actions certainly were swift but under the sale and leasback agreement, the Bank owned the property and it remains to be seen if legal warning notices had been sent but ignored by the then-owner.
The conflict has ended up in court. In the meantime, Novo Banco sold the hotel in August 2016 for an undisclosed price to a company under the control of the Madre Group.
The 2003 property has had a €2 million plus refit and will reopen in February 2017 as the Maria Lounge Hotel, owned now by AP Hotel & Resorts.
The new owners say they will "create jobs and value in the Tavira region" and that the refurbished hotel will reopen, "fully renewed in its aesthetics and concept" with "a modern and contemporary design" and with a restaurant offering “fusion, based on local produce” and an emphasis on culture, sport and nature.
AP Hotels & Resorts also owns the Adriana Beach Club Resort in Albufeira and the recently acquired Hotel Oriental in Portimão and Hotel Eva in Faro.
The holding company, Madre Group, has investments in Iberwind (renewable enegry), Impresa (Media), ESFG and West Global (private equity) and is involved in markets as diverse as food and drink, equipment hire and health.
As for the tourist market, the Madre Group states that it “has long sought new opportunities for action in this sector is a condition for future investment opportunities to emerge and elects the Algarve region as a priority.” The company is controlled by António da Silva Parente.
