St Modwen has sold its interest in the Premier Inn Hotel at its Trentham Gardens Estate in Staffordshire.
The regeneration specialist has sold the 119-bedroom hotel’s 150-year ground lease to Danish firm KS Habro Stoke for £10m.
Whitbread Group subsidiary Premier has taken a 35-year lease on the hotel, which was completed in March this year, and pays £590,000 pa.
Trentham Gardens was formerly part of the Duke of Sutherland’s estate and has been transformed into a £100m tourist and leisure destination over the past four years. It now attracts 3m visitors annually.
Habro’s Claus Mathiesen, said: “The acquisition of this new hotel fits perfectly into our buying criteria, providing a strong covenant, good location and a long lease and further confirms Habro’s continued objective, which is to secure more properties of this type.”
Last month, St Modwen Properties posted a pretax loss of £20m for the six months to 31 May.
The developer was hit by reductions in the value of its residential and commercial properties. The figure compares with a profit of £65.1m at the same time last year.
