Israeli-based Fattal hotel group has acquired the leasehold of the 173-room Grand Harbour hotel in Southampton from US hospitality group Westmont for £29m.
Situated on the Southampton waterfront, the 24-year-old property will be rebranded as a Leonardo Royal hotel and operated by Jurys Inn and Leonardo Hotels UK and Ireland.
The Jurys Inn portfolio of 36 hotels were bought at the end of last year by Fattal and Swedish hotel investment company Pandox from US private equity company Lone Star Funds for £800m. Leonardo Hotels is the European arm of Fattal.
The Southampton hotel features two restaurants; a Marco Pierre White Steakhouse Bar and Grill and Hamtun Bar and Bistro; 13 meeting and event rooms, a spa and gym.
David Fattal, CEO of Fattal Hotel Group, said: “We are delighted to have acquired the Grand Harbour Hotel in Southampton, which is another step in our strategic plan to extend our foothold in the UK and to position the group as one of the UK’s most significant hotel owner and operators.”
Jason Carruthers, managing director of Leonardo and Jurys Inn Hotels UK and Ireland, added: “This is a truly exciting time for the Group as we expand our offering in the UK with this iconic luxury hotel in a key city like Southampton.
“We continue to look to grow and strengthen our portfolio and hotel network, and will pursue further appropriate and commercially attractive new development and acquisition opportunities as they arise. We look forward to working together with the employees at the Grand Harbour Hotel to deliver exceptional experiences for our guests and drive the performance of the hotel.”
The move is the latest in a series of acquisitions for Fattal which partnered with Pandox in the successful £115m bid for Manchester’s iconic Midland hotel last month. It also has plans to invest £32m in the redevelopment and expansion of the Jurys Inn Edinburgh hotel and its neighbouring site.
Fattal partnered with Swedish hotel investment company Pandox to purchase the Jurys Inn portfolio of 36 hotels from US private equity company Lone Star Funds by for £800m last year.