De Vere sells Village Urban Resorts as part of £1bn disposal strategy
HOTEL group De Vere has sold has sold the Village Urban Resorts as part of a long-term plan which has so far generated more than £1bn.
KSL Capital Partners has purchased the chain of 28 Village hotels, including hotels in Headingley, Morley and Hessle, and the new owners have plans to invest and expand the group.
De Vere’s chief executive Andrew Coppel said: “Village Urban Resorts is now in great shape and has forward momentum with the openings in December and the New Year of properties in Aberdeen, Edinburgh and Glasgow. Its future is positive, undoubtedly enhanced by KSL’s commitment to invest substantially in the existing portfolio and pipeline.”
The sale by De Vere is part of its “build and crystallise value” strategy which has seen the group slim down its extensive leisure and hospitality interests. While this process has generated more than £1bn, the group says it has also saved several thousand jobs.
Mr Coppell praised De Vere’s bank for showing the patience to enable the group to execute its strategy in more-favourable market conditions.
He added: “The support of Lloyds Bank in particular from late 2011 was critical, as this enabled the team to build value within three quality businesses and realise premium prices on disposal. To generate over £1bn of sale proceeds in challenging market conditions reflects well on the team. It represents a vindication of our strategy and the Lloyds Bank’s confidence in the company.”
