BDL Select Buys Paten Hotels

-- Hotels, 5/7/2008 9:00:00 AM

Colliers Robert Barry announces (08/05/08) the acquisition of independent hotel company Paten & Co in a confidential sale to BDL Select Hotels. The sale sees four high quality hotels change hands. The deal was completed in less than four months demonstrating the speed at which BDL reacted to the sale opportunity. Offers in the region of £45m were requested by Colliers Robert Barry for the four hotels consisting of over 400 rooms in Bedford, Stratford Upon Avon, Portsmouth and Colchester. This sale completion is encouraging at a time when investors are becoming increasing reticent about the residential and commercial property markets.

Julian Troup, Corporate Director at Colliers Robert Barry commented: “We never doubted the level of interest in the group and the exercise shows just how robust the hotel market is. Hotel values are primarily driven by trading performance and not just based on property values. Therefore investing in robust, carefully selected mid-market hotels makes good sense in the current climate.”

Colliers Robert Barry was instructed in late December 2007 to organise a confidential sale of the entire share capital of Paten & Co by 31st March 2008. Considerable interest was expressed and BDL Select Hotels was quickly selected as the preferred bidder.

John O’Malley, CEO of BDL Select Hotels stated “The purchase of Paten Hotels is the first step in assembling a portfolio of good quality, independent mid market hotels. We are currently in negotiation with other independent operators with a view to expanding the portfolio. The purchase of Paten demonstrates how quickly we can complete deals from a standing start”.

Mike Padley, Chairman of Paten & Co stated, “I am delighted the hotels have gone into such professional hands and will continue to attract further capital investment. I wish the new owners much success in the future.”

Paten & Co were advised by Hawsons Chartered Accountants and Sheffield based Partner, Peter Kennan echoed those sentiments, saying, “We are very pleased that everything came together and that the transaction was completed within the required timescale”.

The hotels within the company include:

Bedford Swan Hotel
(Originally built in 1794), a beautiful Grade II Listed Building located on the embankment overlooking the river Great Ouse, with excellent access to the town centre.

113 en suite letting bedrooms. Lounge, Bar, four other lounge areas, Restaurant (100), Coach Room 250 and State Room 90. 8 meeting rooms, and one executive training room.

Best Western Grosvenor Hotel, Stratford Upon Avon
An attractive and well located hotel in the heart of Shakespeare’s birthplace.

73 en suite bedrooms. Lounge Bar, further lounge area, Conservatory, Restaurant (80), Grosvenor Suite (107), Bar area. 5 meeting rooms.

Langstone Hotel, Havant, Portsmouth
Unique and distinctive property located on the northern end of Hayling Island.

148 letting bedrooms. Lounge and Bar, further lounge, patio area, Restaurant (120). Spinnaker Suite (130) and Langstone Suite (150), brand new Winchester Suite (160) and 12 meeting rooms.

Best Western Marks Tey Hotel, Colchester
Busy commercial hotel with leisure club, situated to the south of Colchester.

110 en suite Letting Bedrooms. Lounge Bar, 2 further lounge areas, Restaurant (100). Balken Suite (180). Claudius Suite (70). 12 meeting rooms.