Savills and JLL Hotels and Hospitality have sold the Crowne Plaza London Kensington on behalf of L.C. Hotels Pte Ltd. A Singapore consortium led by Heeton Holdings Ltd , together with KSH Holdings Ltd and Ho Lee Group Pte Ltd, acquired the hotel for £83 million, reflecting a net initial yield of 3.46% and a value of £509,000 per key.
The 163 key hotel has a gross internal area of 92,500 sq ft (8,600 sq m) and is located in the heart of Kensington, a short walk from the National History Museum, the V&A and Hyde Park. InterContinental Hotels Group will continue its management agreement, with the hotel remaining as the Crowne Plaza London Kensington.
Oliver Armitstead, associate director in the hotels team at Savills, comments: “The sale of the Crowne Plaza London Kensington is evidence of the unabated appetite for quality freehold assets; demonstrated in the achieved yield. We are pleased to have secured a new owner with a proven track record in the sector on behalf of our client.”
Will Duffey, Managing Director of JLL Hotels & Hospitality, adds: “London is one of the most sought-after hotel investment markets in the world. The Crowne Plaza London Kensington represented a rare opportunity to acquire a freehold asset with a stable in-place cashflow and further value-add potential. By leveraging on the attractive deal characteristics, we were able to generate interest from a vast range of global capital, securing an attractive sale price for our client.”