Deka Immobilien has acquired the 238-bedroom Radisson Blu Hotel in Edinburgh.

Deka Immobilien has acquired the 238-bedroom Radisson Blu Hotel in Edinburgh.

The investment volume was not disclosed but is widely reported to have been higher than the asking price of £59 mln (€77 mln), making this the largest hotel deal in Scotland since 2007.

Düsseldorf-based Deka acquired the hotel on the Royal Mile in the historic part of Edinburgh on behalf of the WestInvest TargetSelect hotel fund.

The hotel features 238 bedrooms, a restaurant, bar, conference rooms and leisure facilities. The sale also included a youth hostel, retail unit and a site with development potential. The property is let to hospitality group Rezidor, which has a lease until 31 October 2028, with an option to extend.

Earlier this year Deloitte mandated CBRE and JLL to market the Radisson Blu Hotel in Edinburgh and the 252-bedroom Park Inn by Radisson, Manchester City Centre. Deloitte was acting as administrator and liquidator of assets formerly held by Irish property company, WG Mitchell.

UK investor, The Ability Group, acquired the Manchester hotel, which had an asking price of £20 mln, in recent days.