Crowne Plaza Hotel, Holliday Street, Birmingham, B1 1HHMake an enquiry
Franck-Steier Price has recently completed the purchase of a hotel ground rent investment on behalf of a private investor.
The property is located on Holliday Street in Birmingham City Centre and comprises a 312 bed hotel over 12 storeys.
The tenure is long leasehold to Arena Central Developments expiring in July 2257 at a peppercorn rent.
The property is let to Centre Island Birmingham Ltd (trading as Crowne Plaza) for a term from 20 October 2011 and expiring on 10 July 2257. The rent of main hotel is £60,000 per annum which is reviewable 28 yearly to 5% of open market value and the rent of the reception area is £4,125 per annum which is reviewable 5 yearly to RPI.
The investment was purchased for £1,190,000, which reflected a net initial yield of 5.09%. The vendor was Arena Central Developments, represented by Singer Vielle.