Strong occupancy and revenue reinforce Arrow’s Hospitality Strategy in the Algarve
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Arrow’s hospitality strategy continues to perform strongly, as reflected in the latest market data from the Algarve. According to AHETA, the region’s leading hotel association, room occupancy in May 2025 reached 74.8 per cent, the third-highest level ever recorded for May, exceeded only in 1999 and 2000.
This regional growth was driven by strong domestic tourism and steady demand from Spain and Germany. Revenue per available room also rose by 9.5 per cent, reaching nearly €82. While these figures reflect broader market trends, they highlight the favourable conditions in which Arrow is successfully deploying its hospitality strategy.
A key component of this success is Details, Arrow’s on-the-ground management company for hospitality, sports and leisure assets. It oversees Arrow’s assets across southern Europe, including flagship investments in the Algarve such as Palmares Ocean Living & Golf, Monte Rei, and Vilamoura, which features championship golf courses, a newly expanded marina, and high-end residential developments. Details will also manage The Els Club Algarve, the first Ernie Els-designed golf course in Europe, which is set to open on 20 July 2025. As the region’s first private golf club, the project represents a significant milestone for golf in the Algarve and highlights Details’ role in enhancing the area’s leisure infrastructure.
By focusing on operational excellence and experience-led delivery, Details ensures that the assets of Arrow’s funds are well positioned within this expanding market. Arrow successfully operates in lending, credit, special sits, and real estate equity in this market.
John Calvão, Fund Principal, said: “Arrow continues to do well in Southern European hospitality, especially in its Algarve investments, as evidenced by these latest stats from AHETA. The combination of Arrow’s financial strength, active management and integrated leisure infrastructure is paying off. With high demand during the spring and autumn shoulder seasons, and the region adding new air links, including from North American cities, we believe the Algarve will remain a cornerstone of our hospitality programme, combining resilient income with strong long-term growth potential.”
Read the full article in Portugal resident Algarve hotels enjoy best May since 2000 – Portugal Resident
John Calvao
Fund Principal
John Calvao is a Partner and Fund Principal at Arrow. John is a key senior member of the Central Investment Team, overseeing Arrow’s Southern European investments and hospitality assets. John also heads the M&A and Markets Development Teams at Arrow.
During his tenure at Arrow, John has previously led the development of Arrow’s investment and operation capability in both Portugal and Italy as Country CEO.
Before joining Arrow in 2010, John spent over 15 years in various senior positions in international capital market institutions, including COO of MIAC Assurance Corporation, Head of Operations at SCA, which he joined after an independent consultant role overseeing the build out of the first independent NPL servicing company in Portugal, and CIO at Clayton.
John began his career at MBIA.