JLL’s Hotels & Hospitality Group confirmed the sale of the Ace Hotel London Shoreditch on behalf of Starwood Capital Group, for an asking price of £150 mln (approx. €207 mln) or £580,000 per bedroom (approx. €800,000).
The hotel which once stood on the site of the original Shoreditch Empire music hall was acquired by Starwood Capital Group in 2012, converted to an Ace Hotel following an extensive refurbishment and was subsequently honored for ‘Best Renovation’ at the 2014 European Hotel Design Awards. Ace Hotel Group will continue to manage the hotel on behalf of the new owner. The Ace Hotel Group, established in 1999, is a branded operating company that re-envisions the traditional hotel model, enhancing the value of properties through an innovative and locally-inspired approach to design and development.
Situated on Shoreditch High Street just north of London’s financial district within the City of London, the hotel comprises 258 bedrooms, 10 meeting spaces, a lobby bar, a nightclub and the popular Hoi Polloi restaurant. East London is quickly establishing itself as an international trendsetter, with residential value growth outpacing the rest of London, an office pipeline of 15 million sq. ft. (roughly equivalent to the size of Canary Wharf) and some of the hottest names in the leisure space.
Commenting on the sale Adam Wilson, Vice President in JLL’s Hotels & Hospitality Group, said: “This transaction sets a new benchmark for hotel pricing in the local area and represents a narrowing of the gap between East and West London pricing. This sales process attracted over £1 billion of equity from all over the globe and is indicative of the insatiable appetite for London hotel real estate.”