Miguel Gonzalez Vargas (Boscalt): Unique portfolio of European luxury hotels
“The financial environment of the Grand Duchy also shows diversification and constant adjustments to accommodate the development of new businesses and investors”, reminds us Miguel Gonzalez Vargas, Chief Financial Officer at Boscalt. Interview
Can you present your company in a few words?
BOSCALT Hospitality Fund is a Luxembourg based SICAV-RAIF, focused on the upscale to the luxury segment of the hotel market in prime locations of key European cities, with a strategy requiring a high level of hospitality expertise and resources to deliver long-term value. The firm creates substantial value by combining hospitality, real estate, corporate finance, and sustainable expertise. We leverage on a unique partnership with Edmond de Rothschild Private Equity and have a reputable team with recognized international experience in these sectors. Our strategy consists of creating a portfolio of optimized hotels and offering steady returns to our core investors.
“With numerous prospects in our pipeline that we are already working on, our team is very optimistic about future opportunities.”
How do you analyze the actual context in Luxembourg?
Luxembourg has a solid and stable economy that is continuously growing faster than the European market. The financial environment of the Grand Duchy also shows diversification and constant adjustments to accommodate the development of new businesses and investors and for driving innovation. Recognized as a leader in the financial world, it also encourages long-term growth and reliability for various sectors including technology, global wealth management, and private banking. As I know it, Luxembourg is a hub for international banks and funds that, like Boscalt, seek tailored legal services, tax regimes, and international expertise in order to thrive.
What will be the opportunities for Boscalt in the next years?
Boscalt will continue its strategy and its growth, and we expect the next vintages to be as successful as the first and second ones. Our first fund, Aina Hospitality, meet success with a portfolio of 9 assets across 7 key European cities. Exceeding this figure and acquiring 12 assets for our portfolio was Boscalt’s goal. Hyde Paradox Hotel London City, our first property, already undergoing a full renovation, would open next year as an upper-upscale lifestyle hotel. We are currently in the process of signing our second property, in Rome, and expect to finalize the selection process for the operator shortly after the closing. The hospitality industry is recovering, with most hotels now reopened and fully operating and travelers returning, we expect to see an increase in the number of opportunities this year and in the years to come. The hotel sector is changing, and our team is always on the lookout for new opportunities that conform with our strategy and our goals.