Prime Central London Hotel in Bayswater hits the market for GBP29.5m
International real estate advisors Savills, Knight Frank and Dron & Wright have been instructed to market 35 – 39 Leinster Gardens Bayswater, a Grade II listed vacant hotel with refurbishment and development potential, for GBP29.5 million.
The c40,000 sq ft vacant hotel property comprises 92 en-suite bedrooms, a restaurant, bar, club, meeting rooms and spa facilities. The freehold site comprises five interconnected buildings and the property is arranged over lower ground, raised ground, and five upper floors. The buildings were historically used as grand residences however, the internal floor layout has been transformed over the years into the existing hotel. Planning permission has been granted for a change of use to residential or serviced apartments.
The property is located in the heart of Bayswater, north of Kensington Gardens and Hyde Park and west of Marylebone. It is bordered by the Regents Canal and Little Venice, the vibrant West End and by the fashionable boutiques and cafes of Notting Hill. The area is due to benefit from the forthcoming regeneration of Queensway which will offer a vastly improved shopping and pedestrian experience in the immediate vicinity.
Bayswater, Queensway and Lancaster Gate underground stations are approximately less than a 10 minute walk from the property, offering excellent connectivity to the West End and The City of London. Paddington Railway Station, which will benefit from Crossrail, is located 0.7 miles from the hotel, and provides London underground and mainline services to Heathrow Airport in approximately 15 minutes.
Alex Sturgess, Director in the Hotel Capital Markets team at Savills, says: “This is an extremely attractive investment opportunity to acquire a hotel asset in a prime central London location that provides excellent connectivity across London and in a part of London that is due to benefit from regeneration to create a modernised and vibrant retail and tourist destination. With redevelopment potential and planning permission in place we expect to receive strong interest from a wide range of investors.”
Henry Jackson, Head of Hotel Agency at Knight Frank, adds: “We are seeing strong demand for London hotel assets and whilst stock has been limited over the last year, levels are increasing. Assets where there is development and branding options are attracting good levels of interest. There are considerable amounts of equity seeking hotel investment opportunities and we are expecting an improving transactional market over the next 12 months.”