The hotel will be managed by independent hotel management company Redefine|BDL. Last month, the two companies opened the Hampton by Hilton London Docklands.
“This asset is a great investment for our investors as the hotel market remains undersupplied in Bristol,” Gary Jones, COO at Aprirose, said in a statement.
Aprirose’s £1.2-billion real estate portfolio already includes 17 hotels. The 275-guestroom Mercure brings the total number of hotels in the company's portfolio to more than 45, representing brands like IHG, Hilton, Accor, Marriott and Wyndham Hotels–as well as independent properties. In total, Aprirose has more than 2,000 guestrooms in its portfolio. This will be Aprirose's first Mercure hotel.
Aprirose was advised by West Ridge Asset Management, and the seller was advised by CBRE Hotels. In April, Aprirose purchased the Hampton by Hilton Hotel in London Docklands for £35 million. In March, it spent £30 million for 52 Poland Street in London, which will be converted into a Z Hotel.
The deal is the latest trend in increased interest for regional UK hotels. Hospitality sector specialists at Colliers International are predicting that the UK regional hotels market will be supported by low interest rates, the depreciated pound, solid trading, "acquisitive domestic buyers" and an increasing flow of international capital this year.
“Operators are already feeling the increased demand from overseas visitors, and this is one of the reasons fueling a strong demand for hospitality businesses in the region,” Colliers Hotels director Peter Brunt said earlier this year. “The last quarter of 2016 saw a noticeable uptick of enquiries from buyers seeking a business in the region including a number of overseas high net worth individuals or corporations seeking investments in Britain.”