Edinburgh Hotspot for Investment

31st of August, 2017 | Posted in Edinburgh, Hotel News Email Article | Print Article

The Scottish hotel sector has had almost the same amount of investment in the first half of 2017 as it did in the whole of 2016, according to global property experts Savills.

The 2016 figure of £119.7m is certain to be eclipsed, with the 2017 transaction total already sitting at £118m.

Edinburgh remains far and away the biggest hot spot, with 75% of the money in question spent in the Capital. Savills pinpoint the influence of overseas investment, £46m having been spent in six deals alone. High profile recent acquisitions include Chinese group Creation Gem taking on the Isle of Eriska Hotel and Spa in Oban, Singaporean 7 Hospitality buying the DoubleTree by Hilton Dundee and the Bonham Hotel in Edinburgh’s sale to a US investment group.

Steven Fyfe, Associate in the Hotels Team at Savills Scotland, remarked, “Hotels in UK regional cities are in high demand with overseas investors – fuelled by the relative weakness of Sterling, resulting in advantageous exchange rates, and the sharpness of yields in prime markets, providing owners with the opportunity to sell very comfortably just now.

“Edinburgh remains the most sought-after hotel market in the UK outside of London where occupiers and investors are keen to increase their presence by virtue of size, various brands and new concepts.”

The following two tabs change content below.
Hotel Magazine Scotland News Team

Hotel Magazine Scotland News Team

Hotel Scotland is a new publication (2017) from the publishers of DRAM - Scotland's leading on-trade magazine. Hotel Scotland is a newsy magazine which covers all aspects of the industry in Scotland. From who's who, to industry issues and refurbishments.
Hotel Magazine Scotland News Team

Latest posts by Hotel Magazine Scotland News Team (see all)

Recent News

    Moxy

    Moxy Hotels, Marriott International’s experiential hotel brand, opened in Glasgow recently at High Street. Moxy is described by the company as being…

    The Fife Arms

    The transformation of The Fife Arms in Braemar is now complete and the hotel has re-opened just in time for Christmas. This…

    A Dream Team: Interview with Struan and Louise Lothian

    Struan and Louise Lothian own and run the Knockendarroch Hotel in Pitlochry, which recently was awarded a César by the Good Hotel…

    Trade bodies express doubt over City of Edinburgh Council’s boast that half of accommodation providers in Edinburgh support its proposed Tourism Tax

    Both the Scottish Tourism Alliance and UKHospitality have called in to question City of Edinburgh Council’s statement that its proposed £2 tourist…

    Priory Hotel adopts employee-ownership model

    The Priory Hotel in Beauly, near Inverness, has transitioned to employee ownership to 46 staff members as its founder prepares to retire after…