Archipelago Internacional breaks its relationship with Gaesa, following in the footsteps of Spain’s Iberostar and Canada’s Blue Diamond.

14ymedio, Havana, June 2, 2026 / Archipelago International, Southeast Asia’s largest privately owned hotel management group, followed in the footsteps of Spain’s Iberostar and Canada’s Blue Diamond this week by ending its management of hotels linked to Gaviota, the chain controlled by the Business Administration Group SA (Gaesa), the conglomerate of the Armed Forces in Cuba.
The decision comes just days before the deadline, June 5, set by the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC), to end the operations of foreign companies linked to Gaesa, under threat of sanctions.
Archipelago’s hotels in Cuba, operating under the Aston brand—the Grand Aston Havana, Grand Aston Varadero, Grand Aston Cayo Paredón, Grand Aston Cayo Las Brujas, and Aston Costa Verde—are now in a situation similar to that of the properties abandoned by Iberostar and Blue Diamond. They may remain open, but would be managed by Gaviota, which, given the OFAC sanctions, will find it difficult to partner with a new foreign operator. 14ymedio confirmed this during a visit today to the Grand Aston in Havana, which remains open—albeit empty—under Gaviota’s management.
The Grand Aston Havana’s cafeteria was empty of customers on Tuesday. Hotel employees confirmed that the establishment has been taken over by Gaviota’s management.

Archipelago’s departure affects recently built, opulent hotels like the Grand Aston La Habana, controversial since its opening, given that Gaesa constructed it amidst a deep economic crisis that directly impacted the population. The Grand Aston, like the Iberostar Selection Habana—located in the controversial Torre K and now closed due to the crisis—was developed in the post-pandemic period. While shortages were growing and urban decay was evident in many areas of Havana, the Cuban state prioritized the construction continue reading
The Grand Aston was controversial from its opening, given that Gaesa had built it at the same time as a deep economic crisis was developing that was affecting the population.
Before Archipelago’s withdrawal, announced yesterday, the Grand Aston was already suffering from the decline in tourism on the island. According to employee testimonies to 14ymedio, business had recently become so low that, in some cases, employees were told “not to come to work, there were no tourists.”
Meliá, for now, has not announced changes to its plans for Cuba. Half of its hotels are closed due to the consequences of the energy crisis, exacerbated by US sanctions and the oil embargo. Of Meliá’s 34 hotels in Cuba, at least 15 are co-managed by Gaviota : many of the large resorts on the keys and some of the newer hotels in Varadero.
In Havana, the majority of hotels operated by the Balearic company remain linked to the state-owned groups Cubanacán or Gran Caribe. This is the case with the Meliá Cohiba, the Meliá Habana, and the Hotel Sevilla, among others.
Meliá manages 14,053 rooms on the island, representing approximately 14% of its global portfolio. A withdrawal from Cuba would impact its stock price, which had risen 40% this year.
It is still unclear how the sanctions will affect Meliá’s presence in Cuba, or what the company’s strategy will be to disassociate itself from Gaesa if necessary.
The hotel chain’s president and CEO, Gabriel Escarrer, acknowledged last month that the situation in Cuba is “difficult” and “unsustainable,” and that the chain is continuing its strategy of consolidating the few tourists who visit the island into fewer hotels. “I think that today few people know what’s going to happen with Cuba,” he said at the time when asked about Meliá’s future in Cuba.
Escarrer—son of Escarrer Juliá, founder of the hotel chain and a close associate of Fidel Castro—was already sanctioned by OFAC in February 2020. At that time, the businessman, visiting Cuba to attend the Tourism Fair, claimed to be indifferent to the sanctions and said his intention was to remain on the island for at least another three decades. “We will not tremble in the face of any external pressures we may experience,” he insisted.
Last February, when Washington’s sanctions against Gaesa had not yet intensified, Escarrer had declared: “It is not our intention to withdraw [from Cuba] in any way and we feel very comfortable with the leadership position.”
The decision by the Asian airline Aston was revealed by the Dominican media outlet aerocoa.com, close to the deadline imposed by the U.S. State Department under Executive Order 14404, signed by President Donald Trump on May 1st. This order mandated sanctions against “those responsible for repression in Cuba and threats to U.S. national security and foreign policy.” A few days later, the decree began to take effect with specific sanctions against GAESA, its president, Ania Guillermina Lastres, and Moa Nickel SA.
Although Cubanacán is on OFAC’s SDN list and is sanctioned by the agency, it does not belong to the Gaesa conglomerate, which the State Department directly targeted.
This Monday, the Spanish company Iberostar announced its disassociation from Gaviota , leaving under its management in Cuba only those hotels that were owned by Cubanacán or Gran Caribe. Last Saturday, Blue Diamond announced that it would cease its operations and the use of its brands in Cuba “with immediate effect.”
Although Cubanacán is on the OFAC SDN list and is sanctioned by the agency, it does not belong to the Gaesa conglomerate, which the State Department directly targeted on May 7.
The sanctions, however, could also be extended to the state entities Cubanacán, Gran Caribe and Islazul if so determined by the State Department and OFAC, given that Executive Order 14400 considers as a criterion of linkage with the Government of Cuba the “ownership, control or direct management of the entities.”
______________________
COLLABORATE WITH OUR WORK: The 14ymedio team is committed to practicing serious journalism that reflects Cuba’s reality in all its depth. Thank you for joining us on this long journey. We invite you to continue supporting us by becoming a member of 14ymedio now. Together we can continue transforming journalism in Cuba.




















