Swedish hotel property company Pandox AB has bought the Hilton Belfast in central Belfast, UK, from an affiliate of Starwood Capital Group for £40 mln (€46 mln).
The acquisition price includes certain targeted value increasing investments and will be initially financed by cash and existing credit facilities.
The Hilton Belfast has 202 rooms and will be operated under a management agreement with Axiom Hospitality, subject to a franchise under the Hilton brand.
Pandox expects the hotel to generate a stabilized yield of around 10%.
The hotel was upgraded through renovation of all rooms and public areas during the pandemic years and has a strong competitive position.
Liia Nõu, CEO of Pandox, commented: ‘The hotel is well-invested with a strong strategic location in the city center of Belfast. The UK is a one of Europe’s largest and most dynamic hotel markets and Belfast is an attractive destination with a rich business life, several universities, and many attractions, which drive demand from all important segments. We will also make certain targeted value increasing investments to further improve the hotel’s position and profitability.’
Hilton Belfast is situated in central Belfast just 200 meters from the central station, while the event and conference centers Waterfront Hall and ICC Belfast are located close to the hotel.
Pandox already owns Leonardo Belfast with 270 rooms in property management.
