Dubai property investors acquire Radisson Blu hotel in multi-million deal

MIDDLE Eastern property investors have acquired Birmingham’s Radisson Blu hotel out of administration in a multi-million pound deal.

Royal Gulf Ltd, part of Dubai-based real estate business Select Group, purchased the business and assets from KPMG after the firm was appointed administrator to the property holding company in December 2011. The hotel was previously part of Beetham Hotels Birmingham.

The sale of the 39-storey city centre hotel, which trades under the Radisson Blu brand, was brokered by the commercial property firm GVA.
 
Paul Flint, joint administrator at KPMG, said: “We are pleased to announce the sale of the business, after trading the asset profitability for over three years and retaining its position as one of Birmingham’s premier hotels. The hotel, which has 74 employees, continues to be managed by Rezidor Hotels UK Ltd.”
 
Flint, together with Brian Green and Mark Orton from KPMG were appointed as joint administrators of Beetham Hotels Birmingham on December 2, 2011. The company held the leasehold of the hotel, which consists of 211 hotel rooms and suites, the Filini restaurant and two bars, alongside flexible meeting and event space.
 
GVA acted as advisors to the administrators on the sale of the hotel.

James Williamson, Director at GVA, said: “We are pleased to have advised on the sale of the hotel to a well-funded purchaser keen to invest further in the property and retain the existing management company. This is a focal property in central Birmingham that will benefit from an owner keen to work with the operator to maximise the business.”