CDL buys 706-room Holiday Inn London for $480 million
A wholly owned subsidiary of City Developments Limited (CDL) – Copthorne Hotel Holdings – has completed the acquisition of Holiday Inn London on Kensington High Street for £280 million (S$480.2 million).
The hotel has 706 rooms, with the sale executed at £396,600 per room, said CDL in a statement on Dec 2.
The hotel is a two-minute walk away from Kensington High Street, which is near various cultural landmarks such as Hyde Park, Kensington Palace and Royal Albert Hall.
The property, which is freehold and spans 6,356 sq m, is also a 15-minute walk from exhibition centre Olympia London.
CDL said that the hotel has maintained “robust performance”, with high occupancy rates of more than 97 per cent for the nine months ended September.
“Total revenue for the preceding 12 months exceeded £39 million, and the hotel is expected to generate a running yield of over 6 per cent,” it said.
Mr Kwek Leng Beng, executive chairman of CDL, said the acquisition is a “once-in-a-lifetime chance” to secure an ultra-prime freehold site in Central London.