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Lagos Marina area to get a new look in 2026: "Rehabilitation: Two New Hilton Hotels to Be Built Next to the Marina with a €107.8M Investment"

14 February, 2025
Lagos Marina area to get a new look in 2026: "Rehabilitation: Two New Hilton Hotels to Be Built Next to the Marina with a €107.8M Investment"

Source: Expresso

Two new Hilton hotels will be built next to the marina, in an investment of €107.8 million, and will create 188 direct jobs. The area surrounding the Lagos Marina, next to the train station, is undergoing redevelopment with the construction of two Hilton-branded hotels and the transformation of the old train station building into a restaurant.

These changes extend to both sides of the marina, located in the estuary of the Bensafrim River. In the vicinity of the City Hall, new residential and commercial buildings have already been built or are under construction in areas that previously remained vacant. However, the most visible transformation is happening around one of the terminal stations of the Algarve Line, which connects Lagos to Vila Real de Santo António. This is near Meia Praia, one of the most famous beaches in the region, featuring a 4 km stretch of sand extending to the Alvor estuary.

The land next to both the old and new train stations has long been considered for development. It was previously owned by Infraestruturas de Portugal (IP) and was sold in February 2022 to the Canadian group Mercan as part of IP’s ongoing real estate asset sale and concession policy. The DST company is currently building two hotels on this land: Lagos Marina Hotel Curio Collection by Hilton (5 stars)
and Hilton Garden Inn Lagos (4 stars)

The project represents a €107.8 million investment and is expected to create 188 direct jobs. The construction phase, which will last approximately two years, is also expected to generate around 150 new jobs. The Lagos Marina Hotel Curio Collection by Hilton will have a total construction area of 14,776 m², spread across five floors with 180 rooms, a restaurant, two bars (one on a rooftop with an infinity pool), and a second pool on the ground floor.

The Hilton Garden Inn Lagos will offer 90 rooms, including 27 suites with kitchenettes, across a total gross area of 7,505 m². It will also feature a bar, restaurant, 24-hour self-service store, gym, and an outdoor pool.

Both hotels will provide meeting spaces and a combined 160+ parking spaces. Additionally, there will be around 2,000 m² of outdoor areas, most of which will be accessible to the public. Management of both hotels, which will operate under the Hilton brand via a franchising agreement, will be handled by AHM - Ace Hospitality Management, a subsidiary of Mercan Group.

The hotels are set to open next year, with Mercan Properties planning to inaugurate both simultaneously. The Mayor of Lagos, Hugo Pereira, attended the groundbreaking ceremony in October, stating that the project will further strengthen Lagos as a "top-tier tourist destination."

Mercan Properties' Growing Algarve Portfolio

Mercan Properties already operates a tourism project in the Algarve—the Hotel Califórnia Urban Beach, located at Praia dos Pescadores in Albufeira. Additionally, six more hotels are currently under construction in the region: the Alvor Beach Hotel, Hotel Indigo Faro Ribeirinha,
Marriott Lagos, Hard Rock Hotel Algarve, Lagos Marina Hotel Curio Collection by Hilton and Hilton Garden Inn Lagos. According to the Mayor of Lagos: "this Projects Will Reinforce Lagos as a Top-Tier Tourist Destination"

Key Figures

€107.8 million – Mercan Group’s estimated investment in the two Hilton hotels, which began construction in October with 188 direct jobs will be created in the hotels, in addition to those generated during the two-year construction phase

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