Park Inn by Radisson Birmingham West Birmingham Road, West Bromwich, West Midlands B70 6RS Executive Summary
LOCATION: n Prominent location on the M5 with excellent road, rail and air communications ASSET DETAIL: n 168 air-conditioned, en-suite bedrooms n 17 meeting rooms with the largest room holding 180 delegates n Extensive health club including sauna, gym, swimming pool and spa facilities attracting 750 members n 5.2 acre site with 300 car parking spaces n Freehold, purpose-built hotel n Total 2017 revenue of £3.3 million n Available free and clear of current branding and management
2 Birmingham West and its surrounds
Park Inn by Radisson Birmingham West is located approximately 1 mile from West Bromwich town centre and 6 miles from Birmingham city centre. The hotel benefits from immediate access to the regional and national motorway network, being located adjacent to the M5 on a site of approximately 5.2 acres. A number of commercial and industrial businesses are situated close to the property. Key local employers include BT, AA and Compass. The proximity to Birmingham city centre and the NEC contribute to additional demand for the hotel. Strong leisure draws in the area include Birmingham Speedway, Cadbury World and West Midland Safari Park, 4 miles, 7 miles and 19 miles from the hotel respectively. The Hawthorns, English Premiership football club West Bromwich Albion’s stadium, is also located less than a mile from the hotel. The accessibility of the hotel makes it an ideal venue for corporate and leisure guests alike. Birmingham New Street is the closest train station at approximately 5 miles from the hotel, providing direct services to London Euston Railway Station with a journey time of 1 hour and 22 minutes. The closest international airport is Birmingham Airport, approximately 20 miles south east of the hotel, which serves 150 destinations and 12 million passengers per annum.
3 Accommodation
The hotel has 168 spacious bedrooms, all with en-suite facilities and air conditioning, along with complimentary Wi-Fi, tea and coffee making facilities and a TV. The majority of the en-suites are shower only, whilst the remaining have shower over bath facilities. The hotel provides three accessible bedrooms. SCHEDULE OF BEDROOMS
Bedroom Type Number Average Size (sq m) Business Friendly 23 18 Standard Double/Twin 129 17 Standard Triple 10 17 Single Room 6 14 Total 168 17
Food and Beverage
The hotel offers the RBG Bar & Grill, a restaurant which serves healthy and affordable options at breakfast and dinner daily, and can cater for up to 150 covers. The Lounge and Bar provide a more relaxed atmosphere, serving pastries and coffee as well as pre-dinner aperitifs and post-dinner cocktails to 48 covers and 22 covers respectively.
4 Meetings and Events Park Inn by Radisson Birmingham West offers 17 flexible meeting rooms, catering for all types of events. The Prince of Wales Suite and Hallard Suite are the two largest meeting spaces and can both accommodate 180 delegates each. The Prince of Wales Suite is made up of the Rothesay and the Chester rooms, and the Dartmouth and Albion rooms form the Hallard Suite. A private bar is also available. The meeting rooms are arranged over lower and upper ground floor levels and all benefit from individual climate control, audio visual technology and high speed Wi-Fi. SCHEDULE OF MEETING ROOMS Meeting Room Maximum Capacity Area (sq m) Prince of Wales Suite 180 170 Rothesay (part of 60 119 Prince of Wales Suite) Chester (part of 60 57 Prince of Wales Suite) Hallard Suite 180 148 Dartmouth (part of Hallard Suite) 130 106 Albion (part of Hallard Suite) 50 49 Diane Suite 25 69 Chase 100 100 Hawthornes 10 19 Suite 1 30 42 Suite 2 50 62 Suite 3 30 62 7 Individual Boardrooms 10 each 15 Total 675 777
There are 300 car parking spaces located on-site.
Leisure Facilities The hotel’s on-site Health & Fitness Club comprises an indoor heated swimming pool, steam room, sauna, spa and a treatment room. The gym offers fully-equipped cardiovascular and resistance training areas. The health and fitness facilities attract additional revenue through 750 memberships to non-hotel guests. 5 Trade
Full trading information is available to interested parties through the joint selling agents under a confidentiality agreement. A brief summary of trading history is provided below:
2015 2016 2017 Occupancy 65.8% 65.0% 61.4% ADR £44.83 £46.97 £50.50 RevPAR £29.52 £30.52 £31.01 Turnover £3,362,000 £3,344,000 £3,284,000
As illustrated above, in the last three years RevPAR grew year-on-year at the Park Inn by Radisson Birmingham West, driven largely by a strengthening in ADR. Management was successful in replacing price sensitive demand with higher yielding stays due to effective yield management. Total turnover grew year-on-year from 2015 to 2016, whilst total turnover softened slightly from 2016 to 2017 due to a reduction in food and beverage and meeting and event revenue. FUTURE POTENTIAL There is the opportunity to refurbish and reposition the business to improve room rates and occupancy. Given the extent of the car park, there is also potential to lease some of the car parking to surrounding business users. 6 General Information
Tenure & Basis of Sale EPC The property is held freehold. EPC rating C. Operating Structure TUPE Available free and clear of current branding and management. The purchaser will be required to comply with the relevant legislation in respect of current employees. Services The hotel has mains electric and water. Heating is supplied through VAT gas central heating. Wi-Fi is available throughout. The property is elected for VAT. Inventory & Stock Viewings & Further Information Fixtures, fittings and equipment are included in the sale with general Viewings to be arranged strictly by appointment through joint stock at valuation on completion. selling agents Savills and Knight Frank. For further information, Licences please contact the selling agents. No contact should be made The hotel has a Premises Licence. with the hotels directly or with Radisson Hotel Group. Transaction Structure It should be noted that this is a sale on behalf of Fixed Charge Receivers and therefore no warranties or guarantees in any respect, including VAT can be given. Limited replies to enquiries will be given and the Receivers will have no personal liability for any such replies. Interested parties should review the Transaction Structure Paper contained within the secure data site that sets out the basis of sale.
7 Martin Rogers Henry Jackson Asset managed +44 (0)20 7409 8039 +44 (0)20 7861 1085 by C1 Capital [email protected] [email protected] Tom Cunningham Alex Macaulay +44 (0)161 244 7709 +44 (0)20 3826 0690 [email protected] [email protected] savills.com knightfrank.co.uk