Comfort Inn Hotel - 8% Returns Per Annum
- Investment Type: Investment
- Bedrooms: N/A
- Bathrooms: N/A
The Comfort Inn, Manchester north is the 17th hotel in the Shepherd Cox portfolio.
Previously known as the Premier Inn Manchester North, the 42-bedroom Comfort Inn Manchester North is ideally located for leisure and business travellers alike. The hotel is situated close to the Bowker Vale tram station with its direct links into Manchester City Centre and only eight miles from Manchester International Airport. Easy access to excellent road and rail networks makes the Comfort Inn stand out among other hotels in Manchester.
It is however the hotel’s transition into Shepherd Cox’s strategic multi hotel corporate offering, its extensive and targeted modernisation and overall extension, that present a new and exciting opportunity to local trade, hotel guests and investors alike.
Starting from £80,000 per room
8% net rental return per annum
Buyback exit at the end of year 5
Zero ownership fees
No addtional costs
Located in Manchester
Developer with existing hotel portfolio
THE UK HOTEL MARKET
The UK is set to see a boost in overseas tourism as a result of the weaker pound following last year’s EU referendum.
PwC expects growth in the first half of 2017 to build on from the strong sector performance at the end of 2016 driven by the fall in the pound and a more resilient than expected UK economic performance in 2016.
Occupancy remains high and is expected to grow 0.9% to 82% in 2017, while average daily rate (ADR) is set to increase 2.4% to £146.
Occupancy is expected to increase a further 0.5% in 2018 with ADR set to increase 2% to £149.
In general, demand continues to outpace supply growth but supply continues to increase, this year is expected to see 20,000 rooms added to the UK
hotel supply up from 16,000 in 2016. For the UK regions, overall hotel capacity could expand by 12,000 rooms in 2017, meaning a 2.4% net rise – one of the highest growth rates since 2008.