Benidorm stands as the tourist capital of the Costa Blanca and the Valencian Community. The city has long hosted a large concentration of hotel chains, making it a focal point for groups seeking to expand their activities in this popular destination. Given the substantial number of rooms, Benidorm has earned recognition for the scale of its hospitality infrastructure and the opportunities it presents for established and new operators alike.
This prominence is reflected in annual rankings that highlight the strength of the local hotel industry. A leading reference in Spanish tourism, the group Melia manages approximately 33,000 rooms across 132 establishments in Spain, positioning it well ahead of competitors in the sector.
Among the groups based in the province, most have their headquarters or are owned by Benidorm entrepreneurs. The service group chain initially established by Jose Maria Caballe climbed to 24th position this year after slipping due to new openings by other chains such as Ilunion and Fergus Hotels. The company operates a total of 18 hotels and 4,758 rooms.
One of the Magic Costa Blanca establishments is shown in the accompanying image, illustrating the region’s relationship with the brand that has become a staple in the local hospitality scene.
The next provincial representative on the list, Magic Costa Blanca, also manages 13 properties at number 44. The group dropped three places as capacity grew among competitors, totaling 2,678 rooms.
Magic Costa Blanca regained half of its lost revenue after the pandemic
The only Benidorm-based operator to climb positions, HR Hotels, advanced six places to 56th with new additions to the chain this year. The company, founded by Jose Hernandez, acquired the Golf Playa de Castellón and Sorolla Centro de Valencia, bringing the number of operating properties to 20 and totaling 2,110 rooms, according to Hosteltur data.
The group led by Juan Ferri and Jose Baldó, Sandos, and Marconfort Hotels (position 61) includes seven hotels with 1,923 rooms in Spain. The ranking excludes overseas operations such as Benidorm hoteliers in Mexico; Poseidon Hotels, led by Pere Joan Devesa, opened in 1966 with seven hotels and 1,767 rooms.
The Poseidon Playa hotel is pictured in one of the site’s photographs, illustrating the iconic coastline resorts that continue to shape the region’s hospitality landscape.
Finally, Harbor Hotels, once led by the ex-president of Hosbec, Toni Mayor, experienced a contraction, dropping 11 hotels and four positions to reach 72nd place with 1,647 rooms. Bali Group remains a representative of the province with 1,222 rooms spread across three hotels.
Covid cuts revenue for hotel chains in the Costa Blanca by 76 percent
Income
In terms of revenue, the four chains reporting to Hosteltur Magic, Servigroup, RH, and Poseidón posted higher earnings last year, totaling 169.69 million euros, a 145 percent increase from the 69 million recorded in 2020. This rebound is largely driven by the strength of Benidorm’s major hotel groups, though overall turnover remains below pre-pandemic levels. The total for the year reached 306 million euros, a figure that aligns with lingering restrictions during the year aimed at controlling the virus spread.
Hosteltur notes that Hosbec’s general secretary Nuria Montés indicated that many chains closed a large portion of their operations in the first quarter of 2022. It is estimated that overnight stays by year-end could be 20 to 25 percent lower than 2019, while higher room rates are expected to somewhat offset the revenue decline faced by industry chains.
The RH Canfali hotel is shown as part of the region’s hospitality footprint. Regarding expansion plans, Montes stated that several groups intend to build new facilities, but as family-run concerns they expand capacity only when the market supports profitable investments. They monitor opportunities that may arise, but many do not have formal growth targets for the near term.
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