Singaporean hotel investor City Developments Limited has acquired a major London hotel asset, in a GBP280 million deal. CEO Kwek Long Beng described his purchase of the Holiday Inn Kensington High Street as a once in a lifetime opportunity.
The hotel has 706 rooms, and is located in a key west London area, close to many tourist destinations. It is also close to one of CDL’s existing assets, the 833 room Copthorne Tara Hotel London Kensington, promising operational efficiencies. The addition builds on what is already a significant UK portfolio owned and managed by CDL.
A major London asset
Holiday Inn Kensington High Street was sold by Cola Holdings, a company with major property and hotel holdings in London. It was marketed by agent JLL, who noted that the transaction puts down a marker for the London investment market. The price for the hotel works out to GBP396,600 per room. JLL’s head of EMEA hotel capital markets, Will Duffey, commented: “The transaction signals the return of larger cap single asset transactions to London, underlining its continued resiliency and depth of global investor interest.”
In a recent 12 month period, the hotel recorded revenues of GBP39 million, and enjoys consistently strong demand. Occupancy for the nine months to September 2025 averaged over 97%. It has been branded under IHG’s Holiday Inn flag since 2016.
CDL is already a major hotel owner in west London. Among its holdings are the Millennium Gloucester Hotel London, which has 611 rooms, the Biltmore Mayfair, Bailey’s Hotel London Kensington with 212 rooms, and the 158 room Chelsea Harbour hotel. The group also owns the Millennium Hotel London Knightsbridge, which is closed for refurbishment and due to relaunch into the market in 2026.
For Cola Holdings, the disposal comes as the group is investing heavily in another of its central London hotel assets. The former Westbury Hotel in Mayfair is currently undergoimg a major refurbishment and extension, to create a new St Regis hotel. Expansion to the rear, and the addition of an eighth storey, will deliver a 196 room for the Marriott brand. The hotel is expected to be open by the middle of 2026.
Actively building around the globe
Many of CDL’s hotel interests are operated via subsidiary Millennium & Copthorne. with more than 160 hotels around the globe. Current developments include the Paradise Hotel in Birmingham, UK where a 198 room five star property is under construction. Part of a larger mixed use project, the hotel will open in autumn 2026. And in the UAE, Grand Millennium Danah Bay is being built by Dubai Investments on Marjan Island, a property that will operate as an upper upscale resort under the Grand Millennium brand. The 300 room hotel will open in 2028.
CDL continues to be an active manager of its hotel assets. The group recently sold its Bespoke Hotel Osaka Shinsaibashi in Japan to Blackstone. Earlier in 2025, CDL bought an asset from the same investor, picking up the Hilton Paris Opera for EUR240 million.
