EXTENDAM announces the acquisition of a property in Granada for a future ibis Styles hotel

EXTENDAM has announced the acquisition of a building located in the heart of Granada, which is set to house a future ibis Styles hotel. Carried out alongside local partner Continuum Hotel Services, this transaction aims to create a 116-room establishment benefiting from a strategic location in the immediate vicinity of the main railway station and the city’s historic centre. The hotel is scheduled to open in 2027, following a comprehensive redevelopment programme for the building.

A value-creation project in the heart of Granada

Located at 3 Avenida de Andaluces, just 100 metres from the main railway station and a five-minute walk from the historic centre, the future ibis Styles Granada will occupy a corner building enjoying excellent visibility. The building permit has already been secured, and construction work is expected to span approximately one year. An environmental certification process is also planned, with a target of achieving a BREEAM Good rating upon opening. This transaction is being carried out alongside Continuum Hotel Services, an experienced local partner in hotel asset development and management across Southern Europe, and a long-standing partner of EXTENDAM. The property will be operated under the ibis Styles brand, the Accor group’s economy banner, renowned for its accessible positioning and its international distribution network, offering a functional and competitive accommodation solution for both leisure and business clienteles.

A dynamic hotel market driven by the destination’s growing appeal

The Granada hotel market is currently characterised by a supply that remains predominantly independent and often aging, largely composed of small-capacity properties owned by local proprietors. In this context, developing an economy hotel under an international brand represents a differentiating positioning opportunity, especially since there is currently no international economy brand offering in the heart of the city centre. Furthermore, the destination benefits from a balanced demand between domestic and international clients, boosted by the arrival of the high-speed rail line connecting Madrid in approximately 3.5 hours, which has contributed to increasing visitor numbers. Within a particularly dynamic Spanish hospitality market, Granada stood out in 2025 as the city showing the strongest performance growth, with a +9.0 point increase in occupancy rate and a +35.2% rise in average daily rate (ADR) compared to 2023, confirming the destination’s growing appeal.

“This transaction illustrates our desire to pursue our expansion in the highly dynamic Spanish hotel market by positioning ourselves on assets that benefit from strategic locations and high potential for value appreciation. The future ibis Styles Granada will introduce a standardised, high-quality economy offering to the heart of a major tourist destination, while leveraging the distribution power of the ibis Styles brand and the local expertise of our partner Continuum Hotel Services,”

states Anna Cohen, Manager at EXTENDAM.