UK: Real estate advisers JLL has been appointed to sell the five-star BoTree hotel, located on Marylebone Lane in London.
The BoTree hotel opened in September 2023, developed by Shiva Hotels Group as part of a luxury London collection, Place III Hotels.
According to Bloomberg, the 199-room property is being sold due to unsuccessful refinancing attempts of £316.5 million. The finance would repay outstanding debt of £275 million, with a senior loan from Cale Street Partners and a junior facility from Crosstree Real Estate Partners.
An additional £12 million would support the completion of the hotel’s eighth and ninth floors, which would take its total room count to 219.
A guide price has not been disclosed, however people close to the matter report a value above the outstanding debt. The BoTree is being offered on a vacant possession basis without any brand affiliations.
Speaking to Bloomberg, Will Duffey, head of EMEA hotel capital markets at JLL, said: “The BoTree presents a truly one-of-a-kind opportunity to acquire a best-in-class asset in one of London’s most desired locations and provides direct exposure to the most sought-after hotel market globally. The availability of acquiring the hotel on a vacant possession basis is an extremely rare offering, with only one West End freehold single asset transaction above 100 keys in the upscale/luxury space having traded since 2018.”
