The owners of the hotel, hospitality and leisure assets at Birmingham’s iconic Cube building are seeking a sale-and-leaseback.
Joint agents Lambert Smith Hampton and Fleurets have been appointed to find a buyer for the 63,000 sq ft space occupied by the 52-bedroom Hotel Indigo, two Marco Pierre White restaurants, the Club and Spa, Bardolino Pizzeria and Canalside Ballroom.
The asset is owned by three separate vehicles which are majority owned by investor Downing and operator Black and White Hospitality. They are offering 115 years remaining and a peppercorn rent, seeking offers around £13.5m.
The businesses are all managed by Black and White Hospitality, which is seeking the sale-and-leaseback, or a sale-and-manageback agreement. It is pursuing the sale as the Enterprise Investment Scheme has reached maturity.
Hotel Indigo operates under a franchise from InterContinental Hotels Group and the two restaurants under Marco Pierre White franchises.
Hugh Anderson, director of hotels and leisure at Lambert Smith Hampton, said: “This is an exceptionally rare and unique opportunity to acquire a prime hotel in a major provincial city that’s located in an iconic mixed-use building.
“On a going concern basis, the significant capital expenditure made on the asset over recent years and the refurbished spa presents a considerable upside opportunity, once trading conditions normalise – with expectations that trading will quickly return to historic levels or above.”
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