Preston hotel freehold exchanged in deal by acquisitive Haydock investor
A 140-bedroom Preston hotel has been acquired by Haydock-based Seneca Property, for an undisclosed sum.
The firm has acquired the freehold of the Premier Inn Hotel, in Fox Street.
The seven-storey property was developed in 2011 at a reported cost in excess of £23m and has been home to Premier Inn since, with them having taken a 25-year lease over the property, for a rent of £725,000 per annum.
The purchase price hasn’t been revealed, however, it is known that CBRE was marketing the property for sale in the fourth quarter of 2022 and seeking offers in excess of £8.7m.
Occupying a busy roadside location next to the UCLan campus and a short walk from the city’s railway station, the building also houses German Doner Kebab and Kaspa’s Desserts, with the potential for further income to be generated from additional suites on the ground and first floors.
Seneca Property was advised on the purchase by Adam Wildig at Christopher Dee (investment advice) and Darren Hamer at Hill Dickinson (legals).
Jeff Morton, Seneca Property CEO, said: “The current UK real estate climate presents an attractive contra cyclical, entry point for investments in well located and well occupied properties, particularly where you have a very strong and well established tenant in place such as Premier Inn.”
Chris Bullough, Seneca Property MD, said: “We remain acquisitive and have significant funds to deploy, we are still seeing that the current market can provide opportunities to source and acquire assets with sound property fundamentals whilst also offering very attractive risk-adjusted returns.”
