One of London’s only two remaining privately owned five-red-AA-star hotels, the Capital, has been sold to US-based Warwick Hotels and Resorts for an undisclosed sum.
In addition to acquiring the 49-bedroom property in Knightsbridge, Warwick has also bought the neighbouring 12-bedroom Levin hotel and the London Bakery.
The two hotels will be the first properties in the UK for the American company, which was founded in 1980 with the acquisition of the Warwick New York. Today, Warwick owns more than 55 hotels in the US, Europe, Asia, the South Pacific, the Caribbean, Middle East and Africa.
David Levin, founder in 1970 of the Capital and 1994 Hotelier of the Year, will become consultant to Richard Chiu, president and chief executive of Warwick Hotels & Resorts. His daughter Kate will continue in her role as general manager.
Warwick, said that with Kate Levin, it intends to make the Capital “the finest hotel in one of the best addresses a hotel could possibly have in London”.
David Levin, said: “It was a difficult decision to sell, but Warwick Hotels and Resorts is the right company at the right time in this highly competitive London market. I see this as only positive for all concerned.”
Chiu added: “Our group is very pleased with this acquisition, as the Capital Hotel Group headed by David Levin, shares the same hospitality philosophy as Warwick. Being a family business ourselves, we are proud to be able to conclude this transaction with the Levin family and to maintain the family spirit that characterises the two groups.”
According to the hotel’s latest accounts, lodged at Companies House, the hotel was valued at £34.4m by Edward Symmons on 23 December 2013. The business achieved a turnover of £5.6m in 2015, with a pre-tax profit of £638,458, during 2015. Occupancy for the year was 73%, while average room rate and revenue per available room were £265 and £192 respectively.
The Capital hotel is a member of Small Luxury Hotels of the World and Pride of Britain, and is the home of Cornwall-based chef Nathan Outlaw’s only London restaurant.
The only remaining family run five-red-AA-star hotel in London is the Goring in Victoria.
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