Knight Frank has completed the sale of The Red Lion Hotel, on behalf of hotelier and property investors Mandip & Sam Gill of MG Hotels, to private investor Grace Leo, in conjunction with Singapore-based shipping entrepreneur and hotel investor, Tim Hartnoll, for an undisclosed sum.
The property, which is Grade-II listed and dates back to the 15th century, is situated in central Henley on the western bank of the River Thames and comprises 35 bedrooms and extensive dining and events facilities.
MG Hotels has owned the hotel for the last 13 years and now the new owners plan to start an extensive refurbishment across the building.
Mandip and Sam Gill will now focus on the repositioning of the Manor Hotel, Datchet Windsor and the redevelopment of their serviced apartment business.
The Red Lion also has planning permission to add further bedrooms within the existing footprint in addition to the potential to further extend.
Henry Jackson, head of hotel agency and partner at Knight Frank, commented: “We are pleased to have completed the sale of The Red Lion Hotel in exceptional circumstances and to have achieved a yield of approximately 7%, with both buyer and seller pleased with a successful outcome.
“We are experiencing an uptick in activity with increased interest in assets such as these from a range of domestic and international buyers and are increasingly identifying overseas capital targeting the hotel leisure market, who are keen to look at staycation destinations.”
Grace Leo, commented: “After a prolonged search, Tim and I are delighted to have acquired The Red Lion Hotel. We see enormous potential for the property especially in a post Covid-19 world in which we envisage that domestic tourism will become increasingly important, and changing working patterns mean that properties such as this have the potential to re-establish themselves as important community hubs. Now, we plan to embark on an extensive refurbishment process, drawing on my years spent in France and England, in order to create a chic and comfortable hotel, an excellent restaurant and a convivial meeting place.”
Mandip Gill, Director of MG Hotels, commented: “We have enjoyed being a custodian of this magnificent hotel for the last 13 years.
“Our journey and focus will continue on our residential development/serviced apartment business as well as redevelopment and repositioning of the Manor Hotel, Datchet Windsor.”
Knight Frank is active in the transactional hotel sector with approximately £45 million of regional hotels under offer and has recently completed a string of deals including Patshull Park Hotel and Barnsdale Hall Hotel.
Knight Frank acted for the vendor Mandip Gill.