The tourism sector in San Bartolomé de Tirajana and Mogán has awakened to a double threat that redefines its economic stability for 2026. On the one hand, President Donald Trump's decision to impose a total trade embargo against Spain—in retaliation for the government's refusal to allow the use of the Rota and Morón air bases in attacks against Iran—places the Canary Islands in a position of extreme vulnerability. On the other hand, the giant Blackstone has chosen this precise moment of geopolitical tension to accelerate the spin-off of its crown jewel: the HIP hotel platform, which has its most profitable assets in Spain in southern Gran Canaria. Blackstone is also a partner in Aedas Home and Holiday World.
Trump's threat to "cut off all trade" with Spain is no small matter for southern Gran Canaria. The US market, while secondary in terms of visitor volume compared to the British or German markets, is vital in terms of capital investment and technological supplies for the hospitality industry. The order given to Treasury Secretary Scott Bessent to "cut off all trade" could immediately paralyze lines of credit and operations by American investment funds that support the renovation of hotel infrastructure in areas like Meloneras and Playa del Inglés.
Amid this diplomatic earthquake, Blackstone and Singapore's sovereign wealth fund (GIC) are maneuvering to execute a carve-out of Hotel Investment Partners (HIP). The aim is to consolidate the Canary Islands assets—considered the most profitable and resilient in its 22.000-room portfolio—into a new, independent company. This move seeks to facilitate a piecemeal sale or an initial public offering, circumventing the paralysis that rising interest rates and now the Trump embargo could impose on a sale of the entire portfolio.
In southern Gran Canaria, this strategy is a double-edged sword. The creation in 2024 of a specific division for the archipelago's hotels confirms the strategic value of establishments that have recently received multimillion-dollar investments from HIP for their renovation. However, the uncertainty surrounding who the final buyer will be, in a context of trade hostility with the US, raises reasonable concerns. If Washington tightens sanctions under the International Emergency Economic Powers Act, Blackstone's ability—a New York-based firm—to manage or transfer its assets in Spain could be seriously compromised by its own government.
Trump's rhetoric, hardened after his meeting with German Chancellor Friedrich Merz, makes it clear that Spain has become a "terrible nation" in the eyes of the White House due to its defense policy and failure to spend 5% of GDP on NATO. This diplomatic rift directly impacts international investor confidence. In the south of the island, the fear is that HIP's hotels, instead of enjoying a successful IPO, will be trapped in a legal limbo if sanctions impede the flow of capital between Madrid and New York.
The day ends with all eyes on the US Department of Commerce and Blackstone's offices. Southern Gran Canaria, which has demonstrated a record-breaking capacity for job recovery this year, now faces an unprecedented scenario: being the economic hostage of a military dispute in which its logistics bases and its main hotel owner are on opposing sides. The "national and economic security" invoked by the Trump team could end up being the main obstacle to the largest real estate deal of the decade in the Canary Islands.
