Alpha Real Capital completes ground rent transaction on UK conference hotel
Alpha Real Capital (Alpha), a specialist manager of long income real assets, has completed a ground rent transaction of circa GBP40 million on the De Vere Beaumont Hotel, Old Windsor on behalf of its Index Linked Income Fund (ILIF).
This is the fund’s largest regional hotel transaction to date.
The hotel is one of the UK’s leading conference hotels, comprising of 429 bedrooms and 45 meeting/conference rooms, having been extensively refurbished since its acquisition in 2014 by funds managed by Starwood Capital Group.
ILIF now has circa GBP400 million of hotel ground rent assets under management and has funded over GBP1billion worth of hotels with ground rents to date.
Hugo James, Partner and Head of Long Income at Alpha Real Capital, says: “We are delighted to have acquired the ground rent of this prestigious hotel from funds managed by Starwood Capital. The quality of the property and position close to London provides confidence this asset will maintain its position as one of the leading conference hotels in the UK with significant scope for further growth in trading. The Fund has strong pipeline of new transactions in due diligence partnering with both buyers of assets in competitive processes and refinancing of existing facilities.”
Phillip Rose, CEO, Alpha Real Capital, says: "Alpha works very closely with real estate owners and operators to deliver flexible long-term capital solutions. Alpha's reliability and responsiveness to the needs of both owners and operators is reflected in the GBP1.5 billion of commercial ground rent investments we have made over the last few years.”