Hotel Indigo, Durham
Sympathetic conversion of magnificent Grade II listed public administrative building to boutique hotel
Hotel completed and opened
Purchase price and development cost
Bedroomed 4-star boutique hotel
Hotel Indigo, DH1
Completed the purchase and sale and lease-back of Shire Hall, Durham and entered into a fixed price development agreement for a BPRA-qualifying conversion into an 83-bedroom hotel Indigo with Marco Pierre White (MPW) Steakhouse Bar & Grill.
Shire Hall is a magnificent Grade II listed building, built in the 1890’s for Durham Council. Its many outstanding period features, including marbled staircases and stained glass windows, form the basis for this extremely impressive hotel with the circular former debating chamber and Council lobby room providing a truly unique setting for the MPW restaurant and cocktail bar.
- Franchise Agreement with InterContinental Hotels Group (IHG).
- Hotel Management Agreement with Interstate Hotels and Resorts.
- Maven structured, funded and project managed the development.
- Hotel completed and opened in March 2018.
- Purchase price and development cost £15 million.
- Equity fund raise of £5.25 million from MIP.
- Forecast returns of 1.82x multiple of capital invested (excluding income tax reduction through claiming BPRAs).
“This project enables us to bring a magnificent building back into use and allowed us to further develop our relationships with IHG and the hotel Indigo brand, Interstate and MPW. Hotel Indigo at the historic Shire Hall has experienced high occupancy rates since it opened, addressing the demand that exists in the city for more high-quality hotel accommodation.”
Ramsay Duff, Investment Director at Maven