UK hotel owner and operator Fairview Hotels has acquired the 101-room Novotel Ipswich, the 98-room Novotel Coventry, the 132-room Novotel Wolverhampton, and the 119-room Novotel Manchester West from Land Securities for an undisclosed sum.
The deal takes Fairview’s existing UK portfolio to nine hotels which includes Novotel, Mercure and Ibis brands. The hotels will operate under the Novotel franchise with AccorHotels.
'This transaction represents a strong opportunity for Fairview Hotels who are currently the largest franchisee of Novotel hotels in the UK and is an excellent fit for their platform,' said Anu Badola, director of CBRE Hotels, who advised Land Securities. 'We are seeing an increasing amount of interest from UK based owner operator franchisees who are seeking attractive opportunities in the UK market where there is a strong underlying base of demand and attractive returns relative to the current low interest rate environment.'
Fairview was advised on legal matters by Howard Kennedy.
Land Securities was advised by Hogan Lovells and CBRE. CMS advised Accor.
HSBC provided funding for the purchase and was advised by Blake Morgan.
