Hotel development specialist 4C Hotel Group has secured a £65 mln (€74 mln) loan from Leumi UK, a London-based subsidiary of the Israeli international bank, for the development of a new four-star Canopy by Hilton hotel in London.
Located in Aldgate, the 342-bedroom hotel will form part of the £76 mln Minories development, which is overseen by architectural firm Acme. The property will be owned by 4C and operated by RBH Hospitality Management, and is expected to launch in March 2021.
Al-karim Nathoo, managing director of 4C Hotel Group, said: 'Working alongside our team, Leumi UK has yet again delivered outstanding service, enabling us to meet our capital needs while continuing to grow our portfolio.'
Canopy London City was originally set to launch in 2018, but the development was subsequently delayed. Its opening will create the first Canopy by Hilton property in the UK capital. The Canopy brand, Hilton's twelfth label, is distinguished by a 'local feel' according to the firm, and first launched in Reykjavík, Iceland, in July 2016.
Louise Gillon, head of hotel finance at Leumi UK, commented: 'This deal has fortified our long-standing relationship with 4C Hotel Group. We are delighted to announce this latest addition to our portfolio – it represents another significant step forward for us in the UK hotel finance sector.'
Burges Salmon’s Real Estate Finance team advised Bank Leumi.
