This gorgeous, nearly complete urban restoration project sees an upmarket 35 bedroom hostel materialising out of once residential ruins in the heart of the Portimão old town. Meticulous restoration has resulted in a contemporary styled and modern facility while constantly highlighting the original architecture and incorporating the 15th century city walls throughout the build, inside and out.
The building is showered in an abundance of natural light with floor to ceiling windows throughout and a central atrium. Offering 35 bedrooms with a maximum occupancy of 106 guests, all rooms boast their own en-suite shower room, large german-style tilt-and-swivel windows/patio doors, air-conditioning, telephone, cabled internet access as well as building-wide wi-fi internet access. Room entry is controlled via a magnetic key card system and airconditioning parameters can be set per room but can be centrally controlled from reception as well. Rooms vary in size and, through the innovative use of custom designed and built stylish bunk beds, rooms are available that can accommodate 2, 3, 4 or 6 guests - perfect for families or other groups. Each cosy room also features its own separate decoration theme and some rooms have their own individual outdoor terraces.
From the bright, modern reception area, two separate elevators service the upper two floors of the building. Light and airy corridors with large windows showcase the ancient walls. Interior access to the restaurant is also provided through the reception area.
Various communal nooks and outdoor terraces throughout the hostel as well as a central atrium provide wonderful quiet reading spaces or relaxation spaces, whether indoors or outdoors.
On the ground floor there is also an artfully designed and elegant restaurant with its own separate public entrance as well as interior access from within this amazing hostel. This restaurant can seat 32 diners inside and also features a large outside courtyard with seating for a further 52 guests (for 84 seats in total), a separate bar area and a sunken cocktail or waiting lounge incorporating sections of the medieval wall and the traitor's gate. Various spots within the restaurant would also lend themselves well to accommodating a small live music act if desired.
The completely equipped modern commercial kitchen is supplied with plumbed natural gas and there are several cold storage facilities. Spacious toilet facilities for dining guests are also provided within the restaurant.
Also on the ground floor and only accessible from the street, is a small shop area that has been pre-plumbed and wired to operate as a fully-automated, pre-paid laundromat facility. No similar facility exists in the area and demand is expected to be high.
Centrally located in a superb position - just a short stroll from the Arade river embankment with its chic cafes and restaurants as well as the pedestrian shopping area of old town Portimao with its shops, bars and restaurants. Local bus and train links are all nearby as is a cycle path along the river to the famous Praia da Rocha beaches and entertainment area.
This concept boutique hostel is the only one of its kind in Portimão and is sold as a 100% turn-key project. On handover, the entire facility will be ready to operate from day one.
A business plan has been drawn up by an external consulting group covering two scenarios.
Scenario 1: running the facility directly, projects an IRR of 15% per year.
Scenario 2: contracting an operator to run the facility, projects an IRR of 11%. Regarding this specific scenario, a consortium with a proven track record of running similar projects in various countries has made an open offer to lease and operate the facility for 15 years. Further details on enquiry.
The facility expects to achieve a 'two-star superior' (**S) HOTREC rating when operational.
Don't miss out on this truly unique investment opportunity.