Lagos resort Palmares sold to Arrow Global

Palmares is a renowned golf resort located in Lagos

King Street Capital Management and Kronos Homes have announced the sale of Lagos resort Palmares Ocean Living & Golf to funds managed by Arrow Global.

In a joint statement, King Street, described as a global alternative asset manager, and Kronos Homes, a Spanish real estate investor and developer, say “the transaction follows six years of extensive investment and development work since they acquired the property in 2017.

“At that time, the resort consisted only of the golf course and the boutique hotel,” they explain. “Since the launch of a carefully crafted master plan for the resort in 2019, the joint venture has developed a new Clubhouse designed by Pritzker Prize winners, RCR Arquitectes. The Clubhouse has won the National Real Estate Award and become home to the Michelin-starred restaurant Al Sud,” they add.

Palmares Clubhouse
Palmares Clubhouse

Arrow Global, which was founded in 2005 in the UK and describes itself as a leading European vertically integrated alternative asset manager specialising in private credit and real estate, has confirmed that the takeover deal represents a €400 million investment in the purchase of the resort and its development.

“We are thrilled to announce the success of the sale of Palmares. This milestone represents the culmination of years of hard work and dedication from our team, and we are confident that Arrow Global will build on the resort’s legacy, taking it to even greater heights,” said Paul Brennan, Co-CEO of King Street Real Estate.

The press statement adds that the resort’s real estate component “also progressed rapidly” under the management of Kronos Homes, with over 80 apartments developed. The first phase of the Signature Apartments and Signature Villas, designed by RCR Arquitectes, “sold out ahead of schedule”, while the second phase of Signature Apartments is in progress, with most units already sold. Additionally, 60% of the Palmares land designated for luxury villas has been sold.

Kronos Homes has positioned Palmares as one of the most iconic luxury developments in the Algarve, setting a new standard for avant-garde architecture. We are extremely proud to pass this unique project to a new investor who will continue Palmares’ story,” said Saïd Hejal, Founder and CEO of the Kronos Real Estate Group.

Located in the municipality of Lagos, with sea views over the Alvor estuary, the 200 hectares of Palmares Ocean Living & Golf feature a 27-hole golf course, a Michelin-starred restaurant, an award-winning Clubhouse, a boutique hotel, and a range of residences.

“We would like to express our gratitude to all stakeholders whose hard work has made it possible to achieve these results at Palmares. It is exciting to know that Palmares will continue its development, while the Kronos Homes team is focused on the development of the company’s 2.0 phase and adding value to our other assets in Portugal,” stated Rui Meneses Ferreira, Partner and General Manager at Kronos Homes.

The Spanish real estate company adds that “this is not the end of the company’s involvement in the Algarve.

“Since the beginning of 2023, the company has been managing a vast portfolio of assets in the region, including Vale do Lobo Golf & Beach Resort. The Group is now investing €500 million in a major expansion of Vale do Lobo, with plans for 460 new residences,” it says.