Specialist real estate lender Leumi UK has loaned £70m (€83.6m) to funds managed by Zetland Capital to refinance two four-star Marriott hotels in Manchester and Edinburgh.
This is the second transaction for this partnership after Leumi UK provided a €51m facility to refinance the Morrison Hotel in Dublin in 2023.
The Marriott Manchester is located in the centre of the city and has 338 rooms over seven floors, as well as 12 events spaces. The Edinburgh Marriott Hotel Holyrood has 160 rooms across six floors, with a large conference area, spa, gym and pool.
Leumi and Zetland said jointly that they believe the strength of the Marriott brand, prime locations, and the global appeal of each respective city, mean the two assets are “positively positioned to deliver strong performance”.
Ahmed Hamdani at Zetland Capital said: “In our second transaction together, Leumi UK’s support has been invaluable, showcasing deep expertise in the hotel sector and our investment strategy.
“These best-in-class assets, enhanced by our refurbishments, are well-positioned to thrive in Edinburgh and Manchester’s strong tourism and business travel markets.”
Liam Mullans, relationship director at Leumi UK, said: “This refinancing illustrates how we leverage our deep hospitality market expertise to deliver bespoke funding solutions for our clients, and act to ensure we are meeting their needs.
“The two assets have immense potential, and our ability to work hand-in-hand with Zetland Capital was key to completing this deal.”
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