Aviva Investors Pays £106m for New London Docklands Hotel

Main Photo: The new 400 room Premier Inn – imagined

Date: January 2020

Location: Westferry DLR Station, London Docklands, UK

Name: Premier Inn – opening 2022

No. of Keys: 400

Seller: TBA

Buyer: Aviva Investors has acquired the freehold interest of a site in London through its Lime Property Fund for £106 million ($130 million/€124 million).

It is located next to Westferry DLR station. And developer Rockwell will build a 30-story Premier Inn Hotel on the site. Rockwell is a London-focussed mixed-use developer.

Whitbread, Premier Inn’s parent company and one of the United Kingdom’s largest hospitality companies, will take a 30-year lease of the hotel and restaurant, which will become the brand’s largest hotel in central London.

“This notable acquisition further demonstrates our proven track-record and supports our ambitious plans for the London hotel sector with the creation of more than 2,500 hotel rooms. In partnership with Whitbread, we are proud to deliver a landmark hotel that stands the test of time,” said Donal Mulryan, Rockwell’s founder.

The development is scheduled for completion in early 2022.

The Lime Property Fund is a long-income real estate fund with a net asset value of £2.7 billion ($3.5 billion/€3.2 billion), as at December 2019. The fund has capital to invest and is targeting property investments that provide inflation-linked or fixed-rental uplifts let to strong tenants on leases of at least 15 years, cross sector, U.K.-wide.

Price: Development of the hotel and 66 residential properties is thought to be £151m

THPT Comment: Onwards and upwards for Whitbread, now with over 800 UK hotels and 76,000 rooms!

First Seen: Institutional Real Estate

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