Singapore-based real estate investment trust CDL Hospitality has acquired the 165-room Lowry Hotel in Manchester, buying it from Westmont Hospitality Group, which had put the hotel on the market in November 2016.
CDL paid a reported £52.5 million for the luxury property.
Westmont and partner Mount Keller Capital acquired the hotel in September 2014 from Rocco Forte Hotels for £40 million.
Regarding the deal, Lowry Hotel GM Adrian Ellis told The Caterer: “This acquisition reinforces that Manchester is a fantastic business, entertainment and sporting destination, both within the UK and internationally. We welcome the new owners and look forward to the Lowry Hotel continuing as the preferred choice for high-profile guests from the sporting, entertainment and corporate fields.
“The team at the hotel remains the same, and our guests and visitors will receive the same five-star service they are familiar with. This exciting news will only enhance our appeal as Manchester’s top hotel.”
The acquisition of the Lowry isn't CDL's first go-around in the UK. In September 2015, it acquired the 198-room Cambridge City Hotel for £61.5 million). "This acquisition in Cambridge, is in line with our strategy to invest in markets with good growth potential," CEO Vincent Yeo said at the time. "Cambridge has been one of the strongest performing hospitality markets in UK and the burgeoning life science cluster will support the growth trajectory of the market. This acquisition of Cambridge City Hotel is a rare opportunity for us to acquire a prime asset in a tightly held investment market."
In regard to the Lowry buy, Yeo said: “This acquisition reinforces our strategy to invest in markets with robust medium- to long-term growth potential. Manchester is one of the most important cities outside of London with a buoyant economic outlook, and the hospitality market is supported by a strong mix of corporate and leisure demand, particularly in football-related and entertainment, which features prominently for the property. The acquisition of the Lowry Hotel is a unique opportunity for us to acquire an iconic asset while capitalising on a low funding environment.”
The hotel was originally opened by Rocco Forte Hotels in 2001.
Interested in the UK hospitality market? The Annual Hotel Conference is October 11-12, 2017, at the Hilton Hotel, Deansgate, Manchester. Running for the 14th year and attracting 850-plus delegates, The AHC is the leading event for the UK hotel industry. This year's theme will be: 'Embracing Change, Seizing Opportunities.' For more information, visit www.theahc.co.uk.