Scotland: Brothers Mike and Ross Baxter have secured £1.1 million financing for House of Gods with plans to expand across the UK.
The BXTR Ltd company has agreed the financing with OakNorth Bank with the intent to grow to five sites over the next three years.
House of Gods, a 22-bedroom hotel near the Royal Mile, will offer a 40-cover cocktail bar “inspired by rock’n’roll’s bohemian past”.
The brothers’ first project was the 46-room Baxter Hostel which opened in 2014. A 70-cover Hawker restaurant and bar is being developed next door.
They are also behind the 105-bedroom Kip Hotel in East London.
Commenting on the deal, the brothers said: “We’re extremely excited to be launching our new hotel, restaurant and bar concept and feel this very popular area of Edinburgh will be the ideal location for both sites to thrive. As well as attracting millions of tourists every year, Edinburgh is the largest financial centre outside of London and hosts hundreds of international conferences throughout the year, making it a popular destination for business trips and holidays”.
Mohith Sondhi, senior debt finance director at OakNorth Bank, added: “Over the last five years since the launch of their first project, the Baxter brothers have proved they can successfully operate both hotels and hostels with their two existing sites experiencing above-market occupancy rates year-round. Edinburgh is a city they know well, and the central location of the site will make it popular for tourists and locals alike. They have ambitious plans for the future, so we look forward to supporting them as they continue to expand the brand across the UK”.