Matthews & Goodman’s investment team has advised on the £40m sale of a prime Travelodge Hotel by private investors, to LaSalle Investment Management on behalf of BAE Systems Pension Trustees.
Located next to Euston Station at Grafton Place, the investment is let to Travelodge for an unexpired lease term of 25 years and comprises 150 bedrooms across four floors with a gross internal area of over 40,000 sq ft.
Appealing to both tourists and business travellers, the hotel is currently Travelodge’s second best performing hotel in the capital and is believed to be one of its overall top performing hotels.
Matthews & Goodman’s investment team has previous involvement with the asset, having advised the private vendors on the original forward funding in 2006. With Euston set to become the London terminus of HS2 and a potential site for Crossrail 2, as well as the creation of a mega underground station incorporating Euston and Kings Cross St Pancras, they identified the asset’s strong future growth potential.
Beyond this deal, the team has recently advised on the acquisition and disposal of a range of other investment properties with long leases with index-linked income.
La Salle Investment Management were represented by John Miles & Co and Gerald Eve.