Dalata Hotel Group plc (“Dalata” or “the Company”) is pleased to announce that it has acquired the entire issued share capital of Hotel La Tour (Birmingham) Limited (“HLTB”) for £31.0m (€34.9 million) from Hotel La Tour Limited. HLTB owns the long leasehold (effective freehold) interest of Hotel La Tour (“the Hotel”) which is situated on Park Street in the centre of Birmingham. The consideration is payable from Dalata’s existing banking facilities.
Hotel La Tour was newly built in 2012 and has 174 bedrooms, a restaurant, bar as well as extensive conference and meeting facilities. The hotel is superbly located within walking distance of Birmingham New Street Station in the centre of the city. The hotel will be rebranded as a Clayton hotel in the final quarter of this year. EBITDAR attributable to the hotel was circa £1.9m (€2.14 million) for the year ended 31st March, 2017.
Dermot Crowley, Deputy CEO Business Development and Finance, said: “Hotel La Tour in Birmingham represents an outstanding opportunity to operate a newly built hotel in the centre of one of the largest cities in the UK. The acquisition is consistent with our stated strategy of rolling out both our Maldron and Clayton hotel brands across the larger UK cities."