MS Hotels Founder Talks About Expansion in 2025

The performance of the group’s hotels was in line with the expectations set at the start of the year, with revenue, occupancy and profitability all within the targets set. The growing demand for exclusive experiences and the excellence of the service provided were determining factors for this success.

Focussed on small-scale units, the MS Group favours comfort, refinement and differentiated service. According to Pedro Mesquita de Sousa, the main challenge has been to achieve an economy of scale that allows profitability to be maintained without compromising quality. In addition, the global economic context, marked by high inflation and high interest rates, represented an additional obstacle, which only began to be mitigated in the second half of the year.

To overcome these adversities, the group minimised its dependence on financing and focused on diversifying its markets, optimising both the average daily rate (ADR) and the occupancy of its units.

In terms of strategic markets, the North American market stood out as one of the most dynamic in 2024, with growing interest in Portugal from US travellers. At the same time, the traditional markets – Spanish, French and English – continued to show a robust performance, contributing significantly to the group’s results.

Investment has been reinforced in personalising and differentiating the service, focusing on storytelling and creating unique and authentic experiences, in line with the privileged location of its units, whether MS Collection Aveiro and Arouca, or Moon & Sun in Lisbon, Porto or Braga. This effort has been widely recognised by guests, reflected in extremely positive feedback, both in direct reviews and on online booking platforms. The ratings and reviews of the units remain consistently high, validating the group’s commitment to excellence.

For 2025, it plans to open the MS Collection Mosteiro de Arouca in early spring, a project that promises to become a benchmark in luxury hospitality in Portugal.

The MS Collection Arouca is the result of the partial reconstruction of the 10th century monastery under the Revive project, representing an investment of around 10 million euros. A five-star hotel with 53 rooms, a restaurant, bars, a spa and an outdoor swimming pool set in a two-hectare garden has been created in this place of prayer, retreat and memory. Housed in one of Portugal’s most emblematic buildings – classified as a national monument – the monastery was once the home of Mafalda – the Holy Queen, granddaughter of King Afonso Henriques.

At the same time, the units already in operation will continue to focus on achieving and, if possible, surpassing financial targets, guaranteeing the high quality standards appreciated by customers.

Expansion is also on the horizon, with the inauguration of Moon & Sun Funchal scheduled for the winter of 2025, as well as a project being studied for an MS Group property in the Alentejo.

The group remains attentive to strategic opportunities, whether through the acquisition of new properties, lease agreements or unit management. This careful approach to expansion aims to guarantee sustainable growth, always in line with the brand’s identity.

With 2024 marked by success and the overcoming of challenges, the MS Group is looking ahead to 2025 with ambition and determination, reinforcing its commitment to quality, innovation and excellence in hospitality.