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Premier Inn Hotel in Belfast goes on the market for nearly £10m

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The Premier Inn Hotel on Belfast's Alfred Street is on the market for nearly £10m

The Premier Inn Hotel on Belfast's Alfred Street is on the market for nearly £10m

The Premier Inn Hotel on Belfast's Alfred Street is on the market for nearly £10m

A Premier Inn in the centre of Belfast has gone on the market for nearly £10m, making it one of the highest-value city hotels to hit the market in recent times.

The Premier Inn on Alfred Street has 148 rooms and is let to the hotel group, part of Whitbread plc, for over £520,000 per year. It’s been put on the market by its property investor owner.

Selling agents CBRE said they were seeking offers of £9.93m or more for the property – which compares with a sale price of £9m for a Premier Inn in the Cathedral Quarter in 2013.

The modest scale of the increase in asking price for the smaller Alfred Street hotel could reflect the huge growth in hotel room numbers in the city over the last few years.

Premier Inn’s lease provides for rent increases every five years, which could mean its average rent goes up to £620,000 per annum, according to a sales brochure for the hotel.

Gavin Elliott, senior director, capital markets at CBRE NI, said: “The Premier Inn on Alfred Street represents one of the larger hotel investments to come to the market in Northern Ireland over the past year.

"The property is well let to Premier Inn Hotels Limited with a Whitbread Group plc guarantee providing an unexpired lease term of over 15 years and the additional benefit of indexed linked rent reviews.

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"The property boasts a prime city centre location in Belfast’s Linen Quarter, so we expect there to be strong interest in this long-leased hotel investment.

“The Northern Ireland hotel market in general is in a strong place as we enter into the second half of the year. Leisure demand has increased month-on-month in 2022, benefitting from the return of international visitors in recent weeks as well as corporate guests.”

Last year Hastings Hotels Group sold its famous Slieve Donard Hotel to AJ Capital Partners in the US for an estimated £40m.



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