GuestInvest, the buy-to-let hotel company, has acquired two more central London properties in a deal worth £120m.
The company has purchased a Grade II-listed building near Hyde Park as well as a row of houses in Notting Hill.
GuestInvest plans to refurbish both properties and transform them into hotels. The hotel near Hyde Park will be named The Jones and will open for business in mid-2008.
The developments will add a further 433 rooms to GuestInvest's existing portfolio of four hotels, and follow on from the group's investment in the luxury London hotel Blakes in November.
Johnny Sandelson, founder of GuestInvest, said: "Hotels are an area of the commercial property market that are bucking the trend of a general downturn. We've made these acquisitions in response to the growing appetite among investors for a property investment that will continue to provide strong returns."
He added: "The Jones and our other acquisition in Notting Hill will bring our hotel group to six boutique hotels and strengthen our position as market leaders of the hotel investment revolution."
The additions follow a £200m injection from Bank of Scotland Corporate, a subsidiary of HBOS, which will support the continued growth of the GuestInvest concept.
GuestInvest plans to expand into at least 10 gateway cities worldwide.
by Kerstin Kühn
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