Topland Group, Marick And Mill Lane Estates create hotel development business
203-bedroom hotel on Trafford Centre site lined up as first project
Topland Group, Marick Real Estate and Mill Lane Estates have launched a new joint venture to take advantage of hotel development opportunities across the UK.
Topland Group, led by billionaire Sol Zakay, is the majority equity partner of this new partnership. Topland one of the largest privately owned international investment groups is a major player in commercial real estate and structured finance.
The first project for the JV, Trafford City Hotel Ltd, has been identified, following the purchase from Peel Holdings of a 1.75-acre development site at the Trafford Centre in Greater Manchester. Planning permission is in place for a 203-bedroom, hotel, and it is expected work will commence in early 2016, ahead of the 2018 extension of the Manchester Metrolink tram system. The hotel will be operated by Tower Hotel Management, part of the Peel Group.
It is anticipated that the Trafford City Hotel will be the first of many projects undertaken by the joint venture. The Topland-led partnership successfully collaborated on the construction of a 190-bedroom Hampton by Hilton hotel at London City Airport, for which Topland provided Marick with a £20 million development finance facility. Mill Lane Estates is the development manager on the Docklands project.
Topland Structure Finance Manager Edward Matthews said:
“Located opposite EventCity and close to the Trafford Centre makes this site ideally-suited to the development of a new hotel and represents an excellent debut for the new joint venture with Marick and Mill Lane Estates. Discussions with a leading brand are already well-advanced. We anticipate it becoming the first choice among those coming to EventCity.”
The new joint venture is part of Topland’s strategy to boost its exposure to hotel sector. The company has committed to deploy over £200 million of development capital and currently owns extensive hotel assets including the Royal Crescent Hotel in Bath, portfolios of both Hilton and Thistle hotels, The Hallmark Hotel Group and the Feathers chain.
Sol Zakay, executive chairman and CEO of Topland, said:
“We continue to see considerable value in hotels and as such are continuing to grow our exposure and commitment to the sector. We anticipate a pipeline of hotel development opportunities within the new joint venture with Marick and Mill Lane Estates and are actively seeking more sites throughout the UK that are suitable for such projects.”
Please contact Glenn Mills for more information [email protected]