UK: Cynergy Bank has completed a £3.5 million loan to Stay Original Company to fund the acquisition of a sixth site in Somerset.
Stay Original Company is the operator of five boutique hotels and pubs throughout the southwest of England. The sixth addition to its portfolio will include At The Chapel, located in Bruton, which comprises eight bedrooms, a restaurant, bakery and wine store.
The loan was structured with a five year loan period and one year of interest only payments over a 24 year repayment profile.
James Brooke-Webb, director of Stay Original Company Ltd, said: “Stay Original Company Ltd is growing and At the Chapel is exactly the sort of opportunity we have been looking for. It’s been great to work with Cynergy Bank again and doing business with Steve Crosswell and his team for the second time has been no less of a pleasure than it was the first. Most importantly, Cynergy Bank moved swiftly to make the deal happen and went out of their way to adapt to our needs.”
Cynergy’s first deal with Stay Original came last year, when the bank provided £8.7 million in financing to the group.
Steve Crosswell, relationship director at Cynergy Bank, added: “Having completed our first deal with Rob and James in May 2021 we were pleased to be able to further support the growth plan. At The Chapel is a wonderful asset and one that will fit perfectly within the existing portfolio of premium, boutique coaching inns. Geographically it fits very well, with Bruton being a very affluent part of Somerset. We very much look forward to seeing them successfully integrate the new purchase into the portfolio.”
Stay Original were advised by Bruce Roxburgh of Roxburgh Milkins and Tom Marshall and Bethany Drew of TLT LLP. Cynergy Bank was advised by Chris Shearer of Colliers and Charlotte Round, Sam Mason and Stephen Cull at Fieldfisher.
The Stay Original Company bought and renovated its first property in Wedmore in 2011. The company has since added properties in Somerton, Bradford-on-Avon, Shaftesbury and Dorchester.