In a £12.8 million property investment Anglo Holt has completed its largest development to date with the completion of a 200 bedroom budget hotel pre-let to Travelodge at Birmingham Airport. The new development represents the largest hotel within the airport complex and maintains the Travelodge brand as Birmingham’s largest hotelier.
In an economic climate that has seen reduced availability of finance for pre-let schemes Anglo Holt secured funding from an institutional pension fund based on a 30 year lease term at an annual rental of £800,000. The deal was brokered by the investment team of Birmingham agents Collingwood Rigby.
This latest completion follows on from a joint development, part of a large urban redevelopment of Rugby town centre, for Anglo Holt in partnership with PLK Properties of a mixed use scheme pre-let to Tesco and Travelodge.
Confirming Anglo Holt’s active strategy to pursue further development opportunities in the leisure sector, managing director Andy Elwell said: “Even in a time of economic uncertainty the budget hotel sector continues to show resilience. Birmingham Airport was a key target location for Travelodge which we have now fulfilled through a one stop shop development strategy providing funding, planning, design, construction and fit out. The value-focussed budget hotel sector continues to evolve and change creating new challenges for both developer and constructor.”
Protracted negotiations with Birmingham Airport to secure the most suitable location taking into consideration the airport’s future development preceded the 44 week contract. The eight storey landmark hotel building constructed within the airport’s perimeter overlooks the runway and fronts on to the A45 Birmingham – Coventry highway. The new development provides increased capacity in readiness for the completion of Birmingham Airport’s extended runway which will open the airport to direct flights to and from Asia and the west coast of America.
This completion two weeks ahead of the contracted schedule along with a total fit out allowed Travelodge to commence trading earlier than anticipated and further enhances Anglo Holt’s reputation for delivering budget hotels on time and on budget.
This latest completion marks the 57th Travelodge contract for West Bromwich based Anglo Holt which celebrates its 40th anniversary this year. The company’s design and construction arm was also responsible for Birmingham’s largest Travelodge of 210 bedrooms at Upper Dean Street adjacent to Bullring shopping centre at a cost of £7 million. Other contracts underway in the region include Kidderminster and Halesown.
Cobbetts’ Birmingham legal team advised Anglo Holt in the development. Birmingham retail agents Wright Silverwood represented Travelodge.