Hotels sold to new investment trust

The luxury Hotel du Vin and Malmaison hotel chains were today sold for £495.1m (€727.4m) to a new tax-efficient hotel group.

Owner Marylebone Warwick Balfour sold the chains to Vector Hospitality, the UK’s first real estate investment trust (REIT) specialising in hotels.

The Hotel du Vin and Malmaison group has 17 hotels across the UK renowned for their upmarket bistro food, wines and accommodation.

The brands will form part of Vector’s network of 71 UK hotels, owned by the group and run by operators including Hilton, Marriott, and Thistle under a sale and leaseback.

Vector is looking to raise £2bn (€2.93bn) by attracting investors to its hotel portfolio through listing on the London Stock Exchange.