Wed, 06 Apr 2022 | ADMINISTRATION
The lease on a prominent Glasgow building that formerly operated as a hotel has gone up for sale after the companies operating the site fell into administration. The lease for the former Park Inn by Radisson Glasgow City Centre will be marketed for sale by Savills following the collapse of Bracknell Property and Bracknell Property Subco.
Bracknell Property had an interest in the lease for the site, which is located at 139-141 West George Street, while the hotel was traded by Bracknell Property Subco. Azets partners Derek Forsyth and Nicola Banham were appointed joint administrators to both businesses, which were suffering from cash flow issues.
Cash flow issues arose due to pandemic-related trading problems and low occupancy levels. These issues ultimately proved to be unsustainable, leading to the closure of the hotel, which ceased trading with all staff made redundant.
The hotel has 91 bedrooms, a restaurant and lobby bar, as well as two conference suites. The joint administrators say that they expect strong interest in the lease, which is being sold with more than 100 years remaining, both from parties looking to acquire well-located Glasgow properties, as well as existing hotel operators.
Commenting on the sale process, joint administrator Derek Forsyth said: “Unfortunately both companies were severely affected by the combination of poor trading and low occupancy levels - the downturn in trading and income was such that the businesses were unable to continue operating and administration was the only option.”
Forsyth continued: “139-141 West George Street is a prominent landmark building, and the lease has over 100 years left to run, so will be of significant interest to established operators and entrepreneurs looking to locate a business in the heart of Glasgow city centre.”
Read more about growing M&A activity in the UK's hotel sector.
One of the best ways to find properties below market price is to look at recent administrations.
Highly reputable independent music production and supervision company providing end-to-end solutions across various applications including music supervision music licensing original score recording composer representation and an internal music librar...
Bespoke luxury train holidays for private individuals to journey across the UK Europe Asia Southern Africa & the Americas including travel on the famous Venice-Simplon Orient Express (VSOE). Experiencing strong recovery following Covid-19 due to a l...
Specialises in yacht refits and surveying, providing exceptional service and high levels of efficiency for international clients. Benefits from a wealth of industry-specific experience, with its expertise encompassing a variety of vessels, including...
FREEHOLD
27
|
May
|
Fragrances retailer Bodycare exploring potential sale amid high street decline | BUSINESS SALE
High street fragrances retailer Bodycare has reportedly enga...
26
|
May
|
DCJ Group targeting more acquisitions after SM Commercial takeover | BUSINESS SALE
Insurance and risk management firm DCJ Group, a part of Glob...
25
|
May
|
Can pre-pack administrations still play a central part in restructuring UK businesses? | BUSINESS NEWS
Despite proving a popular option when it comes to business r...
Sign up to receive our acquisition alert emails to get your FREE guide
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources