TIME:Commercial Long Income secured the off market purchase of this freehold property comprising a purpose built 80 bedroom hotel and separate Brewers Fayre restaurant with approximately 200 covers constructed in April 2015. The site includes parking for 125 cars.
The property is situated in the northern part of the coastal town of Great Yarmouth in Norfolk. Great Yarmouth is one of the largest costal resorts in the UK and a popular tourist destination.
The property is let in its entirety to Premier Inn Hotels Limited on a Full Repairing and Insuring lease with a remaining term of 23 years at purchase. The rent is reviewed every five years to CPI (0% floor and 5% cap). Premier Inn has a Dun & Bradstreet credit rating of 5A1, which they define as a ‘minimum risk of business failure’.
Premier Inn is part of the Whitbread group; established in 1742 Whitbread is one of the UK’s oldest and most-respected companies. Whitbread is the UK’s largest hotel and restaurant company in the UK and the market leader in the budget hotel and restaurant sectors. Its brands include Premier Inn, Costa Coffee, hub by Premier Inn, Brewers Fayre, Beefeater, Table Table, Thyme, Taybarns and Whitbread Inns. The company serves 25 million customers each month.
The Premier Inn brand currently operates over 67,000 rooms, having increased on average by over 4,000 rooms a year since 2010. The brand has further growth ambitions, targeting 85,000 UK and Ireland hotel rooms by 2020 and the creation of another 15,000 UK jobs. The group has also invested considerable sums upgrading its existing portfolio. In terms of trading performance, Premier Inn has continued to gain market share and traction over its competitors. Recent data suggests that total occupancy remains over 80%; the total room nights sold
has increased to 17 million.