Myhotel drops Glasgow plans

Myhotel's plans for a Glasgow hotel have been scrapped after developers and investors got cold feet following the 11 September attacks.

Myhotel had bought the former Pearl Assurance building and gained planning permission for a 78-bedroom hotel. The building is now up for sale for £5.7m through agent Robert Barry.

The group had bought the Glasgow site before 11 September last year, and before finding a further two sites in London and one in Brighton.

Myhotel managing director Andy Thrasyvoulou said that after 11 September, Myhotel's developers and private investors lost interest in projects outside the South-east: "We were very keen to go into the provinces because we didn't think we'd be able to afford London sites. In fact, the reverse has happened. We'd love to have a presence in Glasgow, so if anyone is willing to enter into a joint venture with us, or do a sale and leaseback on the property, please let us know."

Myhotel opens a 45-bedroom hotel in Chelsea in October, with hotels in Paddington and Brighton due in September 2004.

Discussions with Middle Eastern investors regarding joint ventures to fund further expansion were on course, Thrasyvoulou said. Targets included Athens, Milan, Barcelona and Middle Eastern sites.