An international hotel developer has paid £130m for a central London site owned by the British monarchy.
Malta-listed International Hotel Investments (IHI), which counts the Dubai government agency Istithmar among its principal shareholders, has snapped up the site, which covers the Metropole Building and 10 Whitehall Place.
The Government offices, which have been vacant since 2004, will be transformed into a 400,000sq ft luxury residential apartment block and a five-star hotel under the Corinthia Hotels brand.
Charles Gardner, head of office portfolio at The Crown Estate, said: "IHI's bid stood out from a strong field of competitors with a proposal to refurbish the building rather than rebuild behind the existing facade.
"We were impressed by IHI's track record and are confident that they will restore the once grand Metropole Hotel to its former glory."
CBRE Hotels acted on behalf of the Crown Estate.
By Daniel Thomas
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