Spanish chain Riu Hotels & Resort is set to open its first UK property in London at a cost of €250m (£218m).
The company has acquired 1 Neathouse Place near Victoria Station, which formerly housed an Argos store on the ground floor and offices above. It plans to convert the building into a four-star, 350-bedroom hotel as part of its Riu Plaza urban brand, with a prospective opening date of 2020.
The UK represents a large proportion of Riu's clientele in Spain and the Caribbean, and where it has spent some time seeking the ideal opportunity to expand the city hotel brand, the company said.
The property will be geared mainly towards guests visiting London on sightseeing holidays.
Riu chief executive Luis Riu said: "Location is very important for all our hotels, but for the Riu Plaza line it is essential that we are located very close to the places of cultural and tourist interest and very well-connected.
"After years spent studying the best offers in the city, we are very pleased to announce this project, for which we estimate an investment of around €250m to cover the purchase of the building and the refurbishment."
The building was originally constructed in the 1960s and was fully renovated in 1997. The hotel will retain the structure of the building, with the interior being completely refurbished. The hotel will also have a bar, restaurant, and an open-air terrace.
The company has six Riu Plaza hotels worldwide, as well as two under construction in Spain and New York.
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