The newly finished 192-bedroom hotel has never traded and will be the Irish group’s first operating site in the UK capital and its 18th hotel in the country.
Prior to opening in summer 2023, Dalata will invest in excess of £2 million to enhance the property and launch it as Maldron Hotel London Finsbury Park.
The site features a ground floor lobby, a restaurant and a bar, and is located adjacent to Finsbury Park Station in north London.
The property was constructed using the Vision Modular System, which can result in as much as a 40% saving in the embodied carbon emissions when compared with traditional methods of construction.
The sustainably-designed hotel is BER A rated, includes photovoltaic panels, and is expected to achieve BREEAM ‘Excellent’ accreditation.
Under the transaction, Dalata acquired the entire issued share capital of Tide Developments (4) Limited from Furadino Holdings Limited. TD4 has a gross asset value of £45.1 million and owns the freehold interest of the hotel property. The total consideration will be financed from Dalata’s existing cash and banking facilities.
The hotel is expected to accrue stabilised annual earnings of £4 million.
Dermot Crowley, CEO, Dalata, commented: “London is a key strategic growth market for Dalata. We are very excited to be opening our first Maldron hotel in the city in advance of our Maldron in Shoreditch, which is currently under construction.
“This acquisition represents an outstanding opportunity to operate a new, sustainably built, hotel in a vibrant and developing area as we continue our ambitious UK expansion plan. The strength of our balance sheet has been a crucial element in enabling us to make this investment as we continue to create value for all of our stakeholders.”
Appetite for growth
Shane Casserly, corporate development director, Dalata, added: “Acquiring a new hotel asset in London, in challenging funding markets, that will be operational in the summer of 2023, is a fantastic achievement by the group.
“This transaction highlights our appetite for growth as well as the flexibility of our business model, which enables us to grow through acquisition, development and leasing. We are excited by the excellent sustainability credentials of the property as we continue to make progress on our ambitious targets.”
Other UK hotels under development for the Maldron brand include Maldron Hotel Liverpool, a 268-key site which is part of a mixed-use scheme. Hotel facilities will include a bar and restaurant at ground floor, gym facilities and a suite of meeting rooms at first floor level. Plus Maldron Hotel Manchester City will be a 188-room 17-storey hotel which will comprise a bar and restaurant, coffee lounge and gym facilities. Both sites are due for delivery in Q1 2024.