Criterion Capital opens 1,000-pod capsule hotel in London’s Piccadilly

Criterion Capital has welcomed the first guests to its 1,000-pod Zedwell capsule hotel in London’s Piccadilly Circus.

Zedwell Capsule Hotel Piccadilly Circus has taken over the Pavilion, a Grade II-listed building on Great Windmill Street, which is a stone’s throw away from Zedwell’s flagship hotel at the Trocadero building.

The latest project has been dubbed the world’s largest capsule hotel, with each “cocoon” featuring sound-proofed, windowless walls, Hypnos mattresses, ambient lighting and smart climate control – all for £30 a night.

Shared bathrooms with private shower stalls, secure luggage facilities and dedicated dormitories for women are also available.

A spokesperson for the hotel said a "small number" of dormitories are still being finalised, with all the capsules expected to be completed before the end of the year. 

Halima Aziz, head of hotels at Criterion, said: “Our capsule concept introduces an entirely new way to stay in London - affordable, sustainable, and experience-driven. We’re proud to preserve the legacy of the London Pavilion, while opening a new chapter in its story - creating a space where guests can pause, recharge, and connect with the city, with others, and with themselves. Over the coming months, we look forward to unveiling new enhancements and bold ways we’re taking the space to the next level."

In October 2024, Criterion Capital secured a £25m investment facility to support the expansion of the brand into York, Manchester and Edinburgh.

Earlier this month, Time Out reported plans had been approved for Criterion Capital to convert the four floors above the Prince Charles cinema near Leicester Square into a 230-pod capsule hotel.

Criterion Capital is a real estate owner and platform operator with a portfolio of 26 hotels across the UK, including its in-house hotel brand, Zedwell, and commercial holdings in 30 buildings in prime London locations, including in Piccadilly Circus, Leicester Square and Knightsbridge.