Paul “Boom Boom” Bloomfield is selling three central London hotels that he bought earlier this year because he cannot evict operator Thistle.
Bloomfield, who bought the properties from entrepreneur Andy Ruhan for £130m in March, had hoped to convert at least two of the three hotels into residential blocks. But because Thistle’s leases cannot be broken unless it is trading poorly, the 1980s dealmaker is to bring them back to the market, this time with a £170m price-tag.
A source said: “Everyone always wondered how Bloomfield was going to make it work, especially with Thistle pretty much controlling the situation and the added problem of social housing provision.”
The 390-bed Lancaster Gate, the 353-bed Kensington Park and the 295-bed Kensington Palace – were part of a package of hotels bought by Ruhan’s Atlantic Hotels from Orb Estates in 2003 for £700m.
The sale of Ruhan’s remaining 28 Thistles is also close. Savills is selling the £410m portfolio and has drawn up a shortlist of three investors. A decision is expected in the next fortnight.
