Premier Inn, Marcham Road, Abingdon, OX14 1TUMake an enquiry
Atlas Real Estate has recently exchanged contracts with Knight Frank Investment Management on the forward funding of a new 86 bed Premier Inn hotel on Marcham Road, Abingdon on behalf of Hinton Group.
Construction on the new hotel has commenced with practical completion expected in Q3 2023.
The hotel is pre-let to Premier Inn Hotels Ltd, guaranteed by Whitbread Group Plc, for a term of 25 years from practical completion. The lease is subject to 5 yearly upward only reviews to CPI collared at 1% and capped at 4% per annum compounded. The commencing rent will be £473,000 per annum (£5,500 per room).
The development funding sold for £11,200,000 which reflected a net initial yield of 4.00%.
Alternative Real Estate Advisors represented Knight Frank Investment Management.