Belford Hotel changes hands in sell-off

Published on Thursday 12 October 2006 11:47

CITY hotel the Menzies Belford is to come under new ownership as part of a £180 million sale of the Menzies Hotels group.

And new owner Piccadilly Hotels is already looking to expand its portfolio by at least 20 hotels by 2009 - and is eyeing the Capital as a likely spot for acquisitions.

Piccadilly, formed by international property investor and fund manager aAIM and R20 - the private equity vehicle of property tycoon Robert Tchenguiz - acquired the four-star chain from Nikko Principal Investments.

The Edinburgh hotel, on Belford Road, will remain under the management of the existing Menzies Hotel groups. Its chief executive, Nick Menzies, will stay on as an operating partner.

Derbyshire-based Menzies has two Scottish properties in its 15-strong chain in Edinburgh and Glasgow.

Mr Menzies said: "I am excited to work with aAIM and R20 to grow Piccadilly Hotels.

"They are deep-pocketed investors who have strong knowledge of the hotel market, real estate and innovative financial structuring."

Tim Smalley, director of R20 added: "We believe that Nick is a strong executive and entrepreneur who we can work with to grow the group into a substantial UK provincial hotel chain."