The resurgent UK economy and greater availability of debt has stimulated hotel activity in the North East.
In the past few weeks Christie + Co’s North East team, led by Director Mark Worley, has been involved in a string of exciting transactions with more deals in the pipeline due to complete shortly.
Mark comments: “We are witnessing an unprecedented demand for good quality hotels with 10+ bedrooms which have seen ongoing investment in the asset. In an increasingly digital age, good reviews on TripAdvisor are also considered very important by buyers.”
Some of these recent hotel deals include The Travelodge at Sedgefield, a 40 bedroom motel style operation which has been sold as an investment with the benefit of a hotel management agreement. The property has been purchased by a small but expanding hotel investment group.
The Croft Hotel near Darlington was a privately owned 20 bedroom country hotel which was recently purchased by an entrepreneur with no past experience in the hotel trade.
The Twice Brewed Inn near Hexham, which sits high on the Northumberland hills adjacent to Hadrian’s Wall World Heritage Site, has been sold to a local landowner for ongoing use. The sellers were retiring after many years in the business.
Christie + Co also recently sold the historic Percy Hotel at Otterburn to Duncan Fisher and his award winning leisure company Newton Hall Northumberland Ltd, which owns Newton Hall and the Joiners Arms at Newton-by-the-Sea. The landmark property will be transformed into a spectacular wedding venue and traditional village pub.
Mark says: “Compared to the same time last year, we have completed on over 25% more hotel transactions in Tyne and Wear, Northumberland, County Durham, Teesside and North Yorkshire.”
He adds: “We have buyers and investors waiting for opportunities of all types and sizes to the market, whether it be smaller privately owned hotels, medium sized country halls and provincial hotels or large city blocks and motorway boxes.”