Service: Asset Valuation & Advisory | Sector: Hotels
We were instructed by the bank to provide a valuation for secured lending purposes of the 187 key Hotel Indigo in Manchester which opened in late 2018. The hotel is formed of two parts: the Grade II Listed City Buildings which date back to the late 19th Century alongside a newly constructed 14-storey cylindrical building. The result of these two building components is an upscale contemporary hotel which also exhibits Manchester’s Victorian industrial past.
The hotel offers a range of food & beverage options including a bar, restaurant and an all-day café. Furthermore, there is a meeting/events room adjacent to the lobby and small gym in the basement.
The hotel occupies a strong location situated adjacent to Manchester Victoria railway station and is one of the best located hotels to capture demand from Manchester Arena.
We were instructed to value the long leasehold interest in the property, subject to both a Management Agreement and Franchise Agreement.
Having advised on numerous hotels in Manchester (including all of the competitor set), the Gerald Eve hotels team was very well equipped to value the subject hotel. Our comprehensive knowledge of hotel operating structures also enabled us to provide a detailed review of the Management and Franchise Agreements which fed into our valuation.
We provided the client with an accurate valuation within a detailed report to assist them in making their lending decision.