Hotel operator Dalata Hotel Group has purchased the long leasehold interest of the Apex Hotel London Wall from Apex Hotels for £53.4 million.
The hotel has 107 years remaining on the lease.
Located at 7-9 Copthall Avenue, the 4-star hotel comprises 89 bedrooms and suites, a gym, a restaurant and a bar.
Dalata says the property has an expected EBITDAR of around £4.5 million in 2024 and will require minimal initial investment. On completion of the transaction, Dalata will rebrand the Hotel as Clayton Hotel London Wall.
Following this acquisition and post the opening of Maldron Hotel Finsbury Park in June 2023 and Maldron Hotel Shoreditch in 2024, the number of Dalata bedrooms in London will total 877.
Savills advised Dalata Group.
Why it matters
Dalata’s recent acquisitions - £44.3 million for 192-room Maldron Hotel Finsbury Park as well as the above - in a short space of time is a positive indication for the hotel operator after a significant change in its fortunes earlier this year. In February, Dalata posted a pre-tax profit of €109.7 million, swinging sharply from a loss of €11.4 million the year before. This was as revenue rocketed to €558.3 million from 2021’s €192 million.
What they said
Dermot Crowley, CEO of Dalata Hotel Group said: “London is one of the world’s great cities. Securing existing hotels or sites to develop new hotels is very challenging as a result. I am delighted that we have managed to secure two new hotels in the city in the space of just four months. It demonstrates our ability to re-invest the funds that we generate from our existing hotels.”
Shane Casserly, corporate development director at Dalata added: “To have acquired such an attractive existing London hotel, in the current market, that will allow us to further expand the Clayton brand, is a fantastic achievement for the business. London remains a key development market for us and we remain focused on securing future opportunities for the portfolio.”