Sir David Michels has announced a new £200 million (US$307.2 million) investment fund targeting the European hotel sector with an emphasis on the UK. The fund will be managed by his management and advisory firm Michels & Taylor.
The fund is initially seeking hotels ideally with a minimum of 100 bedrooms, each worth between £10 million (US$15.4 million) and £20 million (US$30.7 million). It will also consider small clusters of two to three hotels, but portfolio transactions are not part of the investment strategy.
“The period of buying distressed assets in the UK hotel sector has gone for the time being and we are now in a period of driving value through better management,” said Michels. “We have the team to deliver these improvements and generate value for our investors.”