Sleeperz in talks to operate Dundee station hotel

NEGOTIATIONS are nearing completion for hotel chain Sleeperz to become the operators of the hotel at Dundee’s new £14 million railway station.

Sleeperz are in talks to operate the new hotel. Picture: Complimentary

At a meeting on Monday city councillors will be asked to note the positive progress made on the talks between the city council and the hotel chain and authorise officers to conclude the lease with Sleeperz.

Members of the council’s policy and resources committee are also expected to approve proposals to borrow up to £4.6million to complete the fitting out the building. Dundee City Council will own the building and rent it out to the UK budget hotel company to operate the hotel.

Councillor Ken Guild, the convener of Dundee City Council’s policy and resources committee, said today: “As detailed negotiations with a preferred hotel operator progressed it became clear that the best commercial option for the council would be for us to fully fit out the building to their requirements.

“The cost of this is estimated at between £3.9million and £4.6miliion which will be covered by higher rental income paid to the council by the hotel chain.”

He added: “I am confident that this is by far the best way to bring this project to a successful conclusion and bring much needed hotel accommodation to the waterfront and the wider city.”

Sleeperz opened its first hotel in Cardiff in 2008 and its second in Newcastle in 2011. The hotels in Cardiff and Newcastle have won Royal Institute of British Architects awards for their build and design.

The construction of the new station is expected to start in August and be completed by 2016.