Bids in for £650m pub and hotel portfolio
The portfolio, which is being sold by Nick Leslau’s Prestbury Investment Holdings, Tom Hunter’s West Coast Capital and the Reuben Brothers’ Motcomb Estates and marketed under the name Grove, comprises 144 Travelodge hotels, 47 Spirit Pub Company sites and 16 pubs previously operated by Orchid Group. All the pub leases are guaranteed by Spirit.
The 63 Spirit and Orchid pubs are understood to generate £13.8m in annual rent, while the hotels are believed to produce £35.5m in annual rent.
The portfolio is believed to be being marketed through CBRE and is available without any encumbered outstanding debt.
It is thought that the portfolio has attracted interest from Cerberus, the US private equity owner of Admiral Taverns; Colony Capital, which was one of the final round bidders for the bulk of the Orchid estate; and Oaktree Capital Management.
