2010 was a busy year for Fladgate’s cross-practice hotels team ending with the recent completion of three important hotel transactions.
The first saw property partner James Fry and corporate partner Julian Lewis advise Splendid Hotel Group on the reorganisation of a portfolio of eight branded and two unbranded central London hotels whereby one existing partner of Splendid Hotel Group acquired five hotels personally from the partnership and five were sold to Redefine South Africa funded by Aareal Bank of Germany. The total deal value was over £150m.
In the second, corporate partner Anthony Vaughan and real estate finance partner Kim McMurray advised Akkeron Hotels Group Limited on the acquisition of 18 Forestdale hotels. The acquisition was funded with a mixture of equity, deferred consideration and a new £32m credit facility provided by Lloyds Banking Group.
In the third, corporate partner Julian Lewis and real estate partner Matthew Williams completed the acquisition of the hotel, restaurant and spa premises at the iconic “Cube” development in Birmingham. The hotel will operate under IHG’s “Hotel Indigo” brand and the restaurant will be operated by Marco Pierre White.
Fladgate’s hotels team provides the full range of legal services required by clients across the industry spectrum, from listed hotel chains, operators and companies supporting the hotel industry, to luxury high end resorts. The team advises on the structuring, financing and successful completion of the range of acquisitions, disposals, joint ventures, refinancings, developments and other transactions undertaken by clients, whether in relation to existing businesses or new operating sites.
Commenting on the year Anthony Vaughan said: “Given the continuing difficult economic conditions we are pleased that 2010 has proved to be a strong year for the hotel team at Fladgate and we look forward with confidence to an exciting and busy 2011.”Other hotel transactions completed during 2010 include: