Hotel room investment

The Holiday Inn Express, London-Excel is an exciting new UK buy-to-let hotel investment in the city of London. These hotel rooms offer individual investors an excellent opportunity to enter the lucrative hotel sector at an accessible level.

The hotel will be branded as a Holiday Inn Express, part of the Intercontinental Hotels Group, the largest hotel management company in the world with hotels across the globe. The hotel will therefore benefit from the marketing and strength of the Holiday Inn Express Brand and the other well-known hotel brands within the Intercontinental Hotels Group.

The purchaser will receive their return not only on room income but all other areas of the guest spend including room usage, restaurant and bar, meeting room facilities and food and beverage.

The location of the Holiday Inn Express, London-Excel is excellent for a mid-tier hotel. It is important when considering hotel room investment that the hotel, operator and branding match the local area and market.

It is located within the Royal Group of Docks in East London which was designated a "Special Enterprise Zone" in 2011. The site of the hotel will be just over a mile from London's City airport and 5 minutes from London's Excel Centre. The 02 Arena can be reached in a few minutes and the hotel site is conveniently located for tourist attractions such as the National Maritime Museum, Greenwich Observatory and also Canary Wharf. Central London is only 25 minutes away.

The Excel Centre is found on the waterfront in the centre of the Royal Docks, It was the first ever purpose built self-contained international convention centre in the UK and was originally opened in late 2000 but has been renovated and extended in 2010 expanding the capacity of the venue by 50%.

It is used by blue chip companies for meetings, AGM and conventions as well as sporting and cultural events. London City Airport is just 3 miles from London's financial district and is vital for business and plays an important part in keeping up with the growth of London. The business community recognizes the convenience of its location and size. In 2009 London City airport was given permission to expand the number of flights by 50%. London City Airport in 2011 saw British Airways announce a number of new flights from the airport to a number of European destinations and Blue Islands Airline has announced the launch of its new executive service from the airport.

• 204 En-suite rooms
• 125 Cover restaurant
• Bar and lounge areas
• 4 Meeting rooms
• Bespoke Holiday inn Express bed and linen
• High specification bathroom
• Relaxed seating areas
• Stylish contemporary decor and furnishings
• Satellite TV access
• A workspace with task lighting
• Refreshment facilities (tea, coffee etc)
• A fully licensed bar
• Direct-dial phones
• High speed internet access
• Pay-per-view movie access
• Car park
  

A recent RICS valued these rooms at £161,000 however the price for these units is just £135,000. The rooms are purchased on a leasehold basis similar to an apartment with a lease of 199 year.

The developer has agreed to pay the VAT for investors, saving the purchaser a capital outlay of £25,000. The purchaser agrees to reclaim the VAT and repay the developer, a VAT consultant will assist the purchasers with this.