UK: Singapore investor CDL HREIT Investments (II) Ltd has bought the four-star Hotel Brooklyn in Manchester for £24.1 million through a share purchase agreement.
Hotel Brooklyn has been sold by Roundapple Hotel Partners to a wholly owned subsidiary of CDL Hospitality Real Estate Investment Trust (CDLHT).
The acquisition will see the REIT receive £2.3 million a year in rent from HLD (Manchester), the hotel’s leaseholder. HLD is part of the development group Marshall, which oversaw the construction of Hotel Gotham. HLD subleases the property to Bespoke Hotels.
TLT advised on the sale, led by real estate partner Ranjeev Kumar. He said: “This multi-million pound deal, which involved negotiations with some of Manchester’s leading hotel investors, is another great example of our full-service team coming together to support our clients in this sector.
“We’re pleased to have supported our client in this complex transaction, which we anticipate will play a significant part in energising the hospitality sector as it rebuilds post-pandemic. The last couple of years have not been kind to this industry, however the sale of the Hotel Brooklyn is a sign of recovery and an increase in investor appetite for city accommodation.”
A statement from CDLHT, which also owns The Lowry Hotel, read: “The acquisition of [Hotel Brooklyn] allows CDLHT to further penetrate the lifestyle hotel market. These lifestyle hotels are designed to appeal to the next generation traveller with unique designs, strong identities and story-telling potential, and cater to the growing demand for distinct and curated experiences.
“With its growing stable of lifestyle hotels, CDLHT’s hotel portfolio will be augmented with better alignment with prevailing trends in the global market of strong consumer appetite for such hotels.”