According to data released by Deloitte earlier this week, the UK hotels market has rebounded strongly since the end of the financial crisis, with the value of transactions skyrocketing in the second half of 2013.
The Shard’s Shangri-La Hotel will open this year
Although the second half saw a transition from portfolio to single asset deals for the large part, the £0.8 billion sum garnered was a massive 66 per cent increase from the total sales value recorded in the second half of 2012 which amounted to just £0.5 billion.
Global head of hospitality at Deloitte, Nick van Marken, believes that the improvements in the UK economy have allowed hotels to once more become a key target for global investors.
He says; “The spotlight has returned to hotels as an investment class, underpinned by a clear market recovery and improved macro-economics.
“The many portfolio deals that closed in the first half laid a fantastic base and the Hilton IPO at the end of the year underpinned the increasingly positive market sentiment.”
While many regions of the UK have seen the completion of hotel deals in the past 12 months, London has been at the epicentre of the investment boost with 75 per cent of total deals taking place in the capital city. And it appears that 2014 is set to run on a similar vein, with several exciting hotels set to open in the first half of the year.
One of the most eagerly anticipated is Firmdale’s Ham Yard Hotel, which is located within a stone’s throw of Piccadilly Circus. The 90 bedroom property, as well as being conveniently located for central London, will stay true to Firmdale’s quirky reputation and is rumoured to boast a bowling alley amongst the perks on offer for guests.
Two refurbishments are also set to open in the early stages of 2014; one an ex-fire station and the other a multi-storey car park. The first is owned by Andre Balazs and will bring a total of 26 suites to Marylebone when it opens in March, and the other is an ambitious venture into the hotel industry by restaurateur pairing Corbin & King, who have transformed a listed 1926 art-deco parking block into a hotel comprising of 73 rooms and an “inhabitable sculpture”.
Next, Clermont Hotels is due to launch its flagship property, Clermont London, onto the market in the latter part of 2014. Under plans by the group, the Royal Horseguards on Embankment will be transformed to “change the status quo” of London’s hotel industry – few plans have yet been revealed and therefore industry experts are anticipating great things.
Finally, the Shard’s much hyped Shangri-La hotel will open in the first half of 2014, with spectacular views guaranteed. The hotel will have 185 rooms and will offer guests a spa, bar and restaurant – all of which will naturally offer panoramic views of the London skyline.
Which London hotel opening are you most looking forward to, and do you plan on making a trip to see it for yourself sometime soon?
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