Sanguine Hospitality to transform Birmingham eyesore

One of Birmingham’s best known buildings is to be transformed into a hotel.   Cumberland House, a 100,000 sq ft vacant former office block located on Birmingham’s prime leisure pitch of Broad Street, is being redeveloped into a 285-bedroom Hampton by Hilton hotel.   The building was acquired for an undisclosed sum by developer Office Villages, part of the Cannock Group, from the vendor, a subsidiary of Fordgate, the private property company owned by brothers Moises and Mende Gertner.   Office Villages in turn raised  £34m for the acquisition and refurbishment from private investors in a syndicate arranged by Downing Corporate Finance, using the tax benefits of the Business Premises Renovation Allowance (BPRA).   Sanguine Hospitality has won the management contract to operate the new hotel following an 18-month refurbishment programme, due to be completed by summer 2012.   The news follows on from last week’s announcement that Sanguine is to be the leisure anchor at the iconic Cube mixed-use scheme with Marco Pierre White’s Steakhouse Bar and Grill, alongside its Indigo Hotel and spa concept.   The £10m investment is backed by Downing Corporate Finance.   Nick Taplin, managing director of Sanguine Hospitality, said: “With the Hampton by Hilton we plan to bring style and value to the hotel market in Birmingham.   “The city is already buzzing with plans of new investment, new businesses and job creation thanks to the recently launched Big City Plan. We intend to be at the heart of this exciting phase in Birmingham’s future with this key site on Broad Street.   lisa.pilkington@estatesgazette.com To access all EGi news stories and commercial property data sign up for a free trial today, or visit the subscription options page to find out more.