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Cristiano Ronaldo's hotel in Madrid: 56,000 euros of losses in 2019 and a delayed opening due to the coronavirus

2021-01-26T01:01:30.557Z


The company that will manage the establishment advanced 5.5 million to the owner of the building, located on Gran Vía, for the refurbishment works


Exterior of the Hotel Pestana CR7 Funchal, in Madeira, in a company file image.Tiago Sousa / Pestana

Pestana CR7 Madrid SL, the company with which soccer player Cristiano Ronaldo intends to open a hotel in the capital, had losses of 56,000 euros in 2019, the year before its theoretical opening, which was postponed due to the coronavirus.

As reflected in the accounts of the company, 50% owned by a sportsman's company and by the Portuguese hotel chain Pestana, the year of 2019 was a year of preparations for the establishment, leased in its day to Constructora Calpense in the number 29 of the Gran Vía in Madrid.

It is in this emblematic building, which houses Casa del Libro on its first floors, where the landlord was "carrying out renovation, rehabilitation, expansion and comprehensive conditioning of the building," according to the accounts, always referring to the year 2019. The objective, they continue, is “the implantation (…) of a 4-star hotel”, the same that the only two establishments of the Pestana CR7 brand have in operation (one in Madeira, the home island of the footballer and also of the family Pestana, and the other in Lisbon).

Precisely, several items related to said refurbishment works appear in the accounts.

It is detailed, for example, that the 559,219 euros that appear under the heading of tangible fixed assets in progress "basically correspond to project supervision and management services, as well as interior design, furniture and

software

fees

."

Likewise, the administrators of the company detail that five million that appear as loans and receivables correspond "to long-term advances made to the landlord of the property to defray the cost of the works."

Despite being formulated in May last year, when the pandemic had already reached Spain, causing the population to be confined during the first state of alarm and serious disturbances to the hotel sector, the accounts are presented in abbreviated mode and do not refer to that context.

In fact, they indicate that "the management body has no knowledge of specific risks that could significantly alter the value of assets or liabilities in the following year, so it understands that there is no need to make estimates of uncertainty".

At the beginning of 2020, Pestana CR7 announced that the opening of its establishment in Madrid would take place in the summer of that year, something that the footballer himself echoed on his social networks.

The project, which began to be discussed in 2015 when Ronaldo still resided in the Spanish capital, although it did not take shape until 2018, was nevertheless postponed due to the pandemic.

The new date on which the company expects to open the hotel, which will be accessed by a corner of Gran Vía 29 and which will occupy from the third floor of the building to the attic, has not yet transpired, nor are its Pestana CR7 website marketed yet. more than 160 rooms.

The 2019 accounts, recently deposited with the commercial registry, do not give any clue in this regard.

They do point out that the structure of the company, divided 50% between Pestana - which precisely in 2019 opened its first hotel in Madrid: a five-star hotel in the Plaza Mayor - and the sole proprietorship of Cristiano Ronaldo dates from July 26, 2019. Later that year, on December 11, both partners agreed to carry out a capital increase of 496,400 euros, contributed in equal parts, with which the company closed the year with a share capital of half a million euros.

In total, therefore, during the year the partners made contributions of 5.5 million, which were intended to "defray the cost of the works" and which the owner and lessor of the building obtained as advances.

In the tax section, the company registers losses of 112,844 euros before taxes, which allows it to record a tax credit of 56,422 euros (an accounting adjustment that will allow it to pay less taxes in the future) and end the year with a definitive result of 56,422 euros negative.

Source: elparis

All business articles on 2021-01-26

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