Recently opened Manchester hotel lands £8.1m loan

A recently opened Manchester hotel has landed an £8.1m loan.

Hotel Indigo in Manchester opened its doors in December and was the latest new venue in the city.

And it has emerged lender Octopus Property has provided developer and operator BH Group with a three-year loan to refinance the newly developed Hotel Indigo.

The deal is the second time Octopus Property and BH Group have worked together.

The 187-bed hotel was completed in November and has a 20-year franchise agreement with InterContinental Hotels.

The hotel also has the Mamucium restaurant, a 120-cover restaurant and bar.

Head chef Andrew Green moved from the Lowry Hotel where he achieved Double AA Rosette and a mention in the 2018 Michelin Guide.

The hotel is next to Victoria Station and close to the Manchester Arena, the Arndale Shopping Centre, the Printworks and the National Football Museum.

Nick Westoby, fund manager at Octopus Property, siad: “Working with repeat borrowers continues to be an important part of our philosophy, with the significant growth of Octopus Property in recent years built in part on leveraging our established client relationships.

“We are delighted to be lending again to the BH Group.”

James Houlston, BH Group, added: “We have been really pleased to be able to work with Octopus Property again on this refinancing.

“The development of the hotel has not been straightforward but it is now trading, and the reviews so far have been reward for all the hard work.

“The Manchester hotel market is the second most mature in the UK behind London and the addition of the InterContinental franchise and the exciting new Mamucium Restaurant makes for exciting years ahead.

“This is our second loan with Octopus Property and its appetite and ability to understand both our intentions and the property fundamentals is refreshing.

“Octopus’ professionalism makes for invaluable reassurance to all parties involved and we very much look forward to completing future loans together.”