£9.5m refinancing deal completed at landmark Lake District hotel and spa

A £9.5m refinancing deal for The Swan Hotel, in Newby Bridge, in the Lake District, has been completed by its owner, BH Group, led by entrepreneur James Houlston.

The transaction involved the sale of other investments and injection of more than £2m of new investment by The Swan’s majority owner, BH Group, into BH Hotels 4 Limited, which owns The Swan.

It also involved the injection of further secured debt investment by Triodos Bank to replace the existing lending provided by Octopus and Fern Trading.

Following a successful refurbishment and expansion in 2022, the new investments position the business with the resources to realise BH Group’s ambition to make The Swan a leading luxury resort in the Lake District.

Gateley Legal’s corporate team, led by partner David Armitage and supported by corporate solicitor Scott Cooper, banking partner Christopher Lister, and real estate partners James Sargent and Barbara Rollin, advised BH Group.

David Armitage said: “The Swan is a landmark property in the Lake District, and this refinancing will enable further enhancements to its already outstanding facilities, ensuring it continues to be a premier destination in Cumbria.”

Work began on the £4.6m spa conversion four years ago this month, with completion scheduled for autumn 2021.

Oldham-based construction and fit-out company, Medlock FRB, built 28 new bedrooms, a boutique break-out eatery, and a luxury treatment spa at The Swan, close to the Southern end of Lake Windermere.