Malaysian casino firm Genting Group has sold its freehold interest in the Como Metropolitan hotel on London’s Old Park Lane to DTZ Investors for more than £70 million.
The purchase included the majority of the Como Metropolitan Hotel along with nine apartments operated by the hotel, the majority of the Colony Club Casino & part of Nobu Restaurant. The hotel has 144 bedrooms, a gym, spa and event spaces.
Global real estate advisor CBRE advised the seller on the deal while Knight Frank advised DTZ Investors.
“We have been looking to purchase a secure, prime Central London hotel investment for some time and this is just about as good as it gets,” said Tony Brothwell, fund manager at DTZ Investors. “The asset will be a core holding for Strathclyde Pension Fund bringing the portfolio size to over £2 billion.”
Marc Nelson, director of hotel investment properties, CBRE, said the company had received “significant interest” from both domestic and international capital sources, which he argued demonstrated the buoyancy of London's hotel sector.
London’s asset sales activity grew 31 percent to £1.4 billion in the year through Q3, driven largely by a boost in portfolio sales. London is attracting 60 percent of the country's investment volume, Knight Frank noted in its September report. As of Q2, London's hotel pipeline had 78 hotels and 13,632 rooms underway, according to Lodging Econometrics.