Knight Frank has completed the sale of Holiday Inn Express Channel Tunnel Folkestone on behalf of Stellar Asset Management to London & Regional (L&R) off a guide price of c. €10.1m.
The purpose-built hotel, which is located half a mile from the Eurotunnel Terminal, has been sold subject to a franchise agreement with IHG and free from management to L&R who will incorporate the asset into their Atlas portfolio.
The 100 en suite bedroom hotel sites on 4.451m2 site also offers a spacious restaurant and bar which caters for a maximum of 72 covers, an external decked terrace area, four modern meeting rooms and on-site parking for c. 90 vehicles.
The hotel is located at the end of Cheriton High Street, to the west of Folkestone town centre close to Junction 12 of the M20. It benefits from strong footfall, with 2.2 million passenger vehicles and 1.3 million trucks using the Folkestone Eurotunnel Terminal each year while crossing from the UK to France.
Henry Jackson, Head of Hotel Agency at Knight Frank, commented: “We are delighted to have completed the sale of the Holiday Inn Express Folkestone, which is a highly profitable and resilient asset given its proximity to the Eurotunnel Terminal. The hotel benefits from excellent amenities following a comprehensive refurbishment in 2018 and is well-positioned for future success.”
David Stein, Investment Manager at Stellar Asset Management commented: “We are pleased to complete on the sale of Holiday Inn Express Folkestone. Since acquiring the asset in 2015, we have enhanced the asset’s performance consistently with the help of an excellent hotel team. We are delighted to achieve a strong exit for our stakeholders whilst leaving the hotel in capable hands on the next phase of its life cycle.”
Sean Lowe, CEO of Atlas Hotels commented: “Our growth strategy to become the leading multi-brand platform for Select Service hotels in the UK continues with the acquisition of the Holiday Inn Express Folkstone. This demonstrates our appetite to grow through individual stand-alone acquisitions, in addition to our recent track record of buying portfolios of select service hotels. Supported by L+R Hotels, our operating model has allowed us to underwrite and execute transactions in a timely and efficient manner.”
Neil Kirk, CEO of L+R Hotels, UK and Europe said: “Working alongside the Atlas management team along with our transactional expertise we can provide existing owners a definitive exit route. L+R Hotels continues to support the growth of Atlas Hotels.”
Image source - Knight Frank.
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