UK: Property investment firm Castleforge Partners has acquired the Crowne Plaza Royal Terrace in Edinburgh.
The 97-room hotel, close to the newly redevelopment St James Centre, is set to undergo a full refurbishment before relaunching in March 2022.
It marks the third acquisition by Castleforge this year. In May, the firm announced the purchase of Bruntsfield Hotel (also in Edinburgh) followed by the Hilton Hotel in Cardiff one month later.
Axiom Hospitality has been appointed to manage all three assets.
Matt Lederer, hotel acquisitions director for Castleforge Partners, said: “We are thrilled to add the Crowne Plaza to our portfolio of hotels. It is in a prime location in one of the most exciting areas of Edinburgh and we are looking forward to working with Axiom and IHG Hotels & Resorts to bring the best out of this hotel for guests, staff and investors alike.
“Now is a particularly exciting time to be investing in hotels as the tourism industry shows signs of recovery from the pandemic and we will continue to seek exciting investment opportunities in this space.”
Alex Pritchard, co-CEO of Axiom Hospitality said: “We are pleased to be working with Castleforge once again on their latest hotel acquisition, particularly in Edinburgh as it is known for having some of the most sought-after hotels in the world. We are looking forward to repositioning the hotel, making it an exciting place to work, and welcoming guests from across the UK and abroad.”
Investment management group JLL advised on the deal. The value of the transaction has not been disclosed.
Kerr Young, director at JLL added: “We are pleased to have been able to facilitate an off-market sale of the Crowne Plaza, Edinburgh. This is the fourth hotel transaction JLL have brokered in Edinburgh during 2021 and is yet further evidence on the long-term confidence investors have in the sector.”