Pre-opening | Urbanitae Opens the Second Tranche of the Holiday Inn Express in Vallecas Without Publishing Its Size

09/10/2026 – ⏱ 5 min

This article is for informational purposes only and does not constitute investment advice or a recommendation of any kind.

Urbanitae is preparing a second equity tranche for the 210-room Holiday Inn Express hotel project near Mercamadrid (Vallecas, Madrid). It is the same operation whose first €1,000,000 tranche was covered in a day on 25 September, with 499 investors. Because this is an equity investment, there is no interest rate and no publishable estimated return: the outcome depends on the hotel being built, stabilised and sold in line with the plan, and part or all of the capital may be lost.

The first figure the fact sheet does not record is how much is being raised in this tranche. It does explain the structure: total equity comes to €10,210,000, of which Urbanitae's investors and co-investors contribute €8,475,000 — 83% — and those of the hotel manager, Continuum, €1,735,000 — 17%. Within that 83%, Urbanitae commits €2,000,000, half of it already covered by the first tranche, "extendable by a further €3,000,000": the platform's final share could reach €5,000,000, 59% of the investor tranche, without anyone entering now knowing where it will land. No opening date, minimum investment or internal rating is stated either.

Contributions are channelled through a capital increase in the vehicle company Pendragon Properties 5, S.L., which will in turn subscribe a capital increase in the developer, HIEX Madrid Sur Hotel, S.L.U. The expected investment period is 44 to 48 months, with sale of the asset and distribution in the fourth quarter of 2030.

Asset description, construction progress and sales traction

The hotel will have 10,184 sqm of built area — 7,252 above ground and 2,932 below — 210 rooms and 114 parking spaces, with a bar and restaurant, gym, terraces and an outdoor pool. It will rise in Madrid's southeast corridor, beside the M-40 and M-45, in an industrial-logistics area with the Vallecas Sur estate and Mercamadrid as the main demand generators and, according to the platform, limited hotel supply.

Two milestones remain outstanding and deserve sizing. The plot does not yet belong to the project: there is a deposit contract signed with the owner and the purchase is expected in the fourth quarter of 2026, coinciding with investors' entry. And the building permit has not been granted: it was applied for in July 2026 and the fact sheet estimates it will be obtained in the second quarter of 2027, so the entire schedule — completion in the first quarter of 2029, opening between the first and second, sale in the fourth of 2030 — hangs on that authorisation.

Bank financing is not closed either: the fact sheet states that "indicative terms" have been received for the development loan. The 42% target LTV is therefore a target, not a contracted figure.

Financial structure, coverage ratios and security

As this is equity and not debt, investors hold no security at all, and any bank debt taken on will rank ahead of the capital. What does shift risk is the contract with Alta Real Estate, delegated developer and main contractor under a turnkey agreement at fixed cost and timetable, with guarantees and penalties. In a ground-up project, cost and schedule overrun is the dominant risk, and that contract moves it to the builder: it is the strongest point in the file.

Following the CNMV's criterion, the platform publishes three scenarios instead of a return. The favourable one, with a 7.5% exit yield, projects €40,813,096 of net revenue and €30,654,607 of costs: a margin of €10,158,489. The moderate one raises the yield to 9.38%, cutting the sale price by 20%, with €33,585,089 of revenue and €28,654,842 of costs: a margin of €4,930,247; there the project does not reach a 15% IRR and the sponsor forgoes its promote fee.

The third scenario poses an information problem. The unfavourable one combines a 22% fall in exit operating income with the same 9.38% yield, and puts revenue at €26,777,209. But it does not publish a cost figure: it only notes that costs fall because of lower corporate tax and marketing fees. It is the only one of the three scenarios without that figure and precisely the one the fact sheet describes as producing "a negative result, with partial loss of the capital contributed". Without costs, investors cannot calculate the size of that loss.

One qualification on how the scenarios are built: the moderate and the unfavourable start from the same exit yield, 9.38%. The only difference between them is the 22% fall in operating result, so sensitivity to a larger deterioration in the exit multiple is not explored.

As context, the €30,654,607 of cost in the base scenario equals some €146,000 per room and around €3,010 per square metre built.

On the partners: Continuum Hospitality Group, which will manage the hotel under an IHG franchise, reports some €300 million of assets under management and 18 hotels with close to 2,500 rooms, fourteen in operation. Alta Real Estate, with its contractor Aldara, reports more than 30 years and over 100 projects. The plan rests on a commercial due diligence by Cushman & Wakefield; the technical one is attributed to "top-tier entities" without naming them.

Non-sophisticated investors have a four-calendar-day pre-contractual reflection period to revoke their offer without penalty. This is a crowdfunding product, not a deposit or a guaranteed savings product. It carries risks of illiquidity and of total or partial loss of principal. It is not supervised by the CNMV or the Bank of Spain, and has no cover under Directives 2014/49/EU and 97/9/EC. Investors may not recover the capital contributed.

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