One of the richest men in Hong Kong has put plans for a new £250m hotel in Shoreditch on hold, after Brexit sent tremors through the property market.
Billionaire Lo Ka Shui, who is chairman of Great Eagle Holdings which owns the Langham Hotel, told Bloomberg that since the referendum result, he has put the brakes on purchasing land that was due to become the new Eaton Hotel.
“I’m going to pass and see what happens,” he told Bloomberg.
Shui told the newswire that Brexit is likely to send property values lowers, as he noted that seven listed property funds in the UK had halted client withdrawals.
The planned purchase would’ve seen a new hotel built in the trendy Shoreditch neighbourhood under the Eaton name, which is the group’s lifestyle brand due to launch officially in 2017.
However, when London’s Evening Standard approached some of the capital’s commercial property investment agents, they were keen to play down fears that the lost deal could be a major blow to London’s hotel market.
Mark Shipman, a director at Mayfair-based Michael Elliott told the Evening Standard: “Other buyers will be like bees around a honeypot trying to swoop in now and buy the site.”