THE SALE of an Edinburgh hotel highlights strong investor appetite to acquire quality properties in the Scottish market, an expert believes.
Ownership of the 100-bedroom Kings Manor Hotel, a short walk from Portobello beach, recently changed in an off-market deal.
Legal firm Lindsays acted on behalf of Solley Hotels, which sold the venue to Edinburgh (Portobello) Hotel Limited for an undisclosed sum.
Alastair Smith, a Director in Lindsays’ Corporate department, who works with investors across the hotel and hospitality sector, was part of the firm’s team advising them.
He said: “The sale of the Kings Manor Hotel is reflective of the continued demand for high quality, privately-owned hotels in Scotland’s tourist hubs.
“As a firm, we have been involved in a variety of hotel sales in this sector.
“This was a sale which certainly demonstrates the resilience and buoyancy of the independent Scottish hotel market despite surrounding economic shocks.”
Other Lindsays lawyers involved in the deal were Kenny Gray, a Partner in the Commercial Property department, and Employment law Partner Kate Wyatt.
Solley Hotels had owned the three-star former manor house hotel, on Milton Road, since 1976.
Managed under the Best Western brand, it features a 100-cover restaurant and 85-seat bistro alongside a leisure club and spa, including four treatment rooms and a swimming pool. Guests also have access to a tennis court.
Commercial real estate agents Colliers, which marketed the property, said there was “considerable interest” in the hotel which “resulted in a competitive bidding process from local, national and international hotel operators”.
Robust demand has been reported for regional hotels across the UK, particularly those close to tourist cities and destinations.
Mr Smith added: “The independent hotel market in Scotland is particularly attractive given that there are both sales to private individuals on an owner / operator basis, as well as corporate investors, which was the case here.
“Both the hotel operators and investors with whom we work are certainly interested in exploring new opportunities as they arise.”
Lindsays’ corporate lawyers advise clients from the firm’s offices in Edinburgh, Glasgow, Dundee, Perth and Crieff.
