Holiday park sale is finally complete
A FLINTSHIRE holiday park, set in 40 acres of woodland, has been acquired by Darwin Leisure Development Fund.
Plas Isaf Lodge Park, near Caerwys, has planning permission for 57 holiday lodges, of which 12 have already been constructed.
It was sold, by its previous owners, for an undisclosed price. Agreed prior to lockdown, the park is joining the Darwin Escapes portfolio of 22 lodge resorts and holiday parks around the UK.
Ben Jones, director in the parks and leisure team at global real estate advisor Colliers International, which acted on behalf of the private vendor, said: “The completion of the sale of Plas Isaf, at a price agreed pre-lockdown without any adjustment, confirms confidence in the UK holiday parks market as an alternative asset class.
“This is a sector that was already showing impressive growth prior to the outbreak of Covid-19, and it now looks set to bounce back strongly following the disruption caused by lockdown.
“Holiday parks are ideally suited for maintaining social-distancing measures, as they provide self-contained accommodation that is subject to minimum spacing requirements, and are surrounded by plenty of fresh air and recreation space.
“Not surprisingly, they are experiencing strong visitor demand as ‘staycations’ gain in popularity among UK holidaymakers, who are increasingly choosing to enjoy a break in this country instead of going abroad.
“This is being reflected by keen interest that we have been receiving from existing operators and new entrants keen to purchase holiday parks and capitalise on what is expected to be a growth sector.”
Darwin Leisure Development Fund is a specialist fund that focuses on investing in holiday parks.
Investors include a number of UK local authority pension funds and it has recorded an annualised return of 8.09% for the three years to June 30, 2020.
Anthony Esse, of Darwin Alternative Investment Management, the investment advisor to the fund, said: “Plas Isaf is a beautiful lodge resort in an idyllic setting and we are delighted that it will join the four other Darwin Escapes locations in north Wales. Whilst the past few months have been challenging, demand for UK staycations has surged and confidence in the market is strong.
“We intend to invest in the Plas Isaf site to maximise the planning permission that is already in place and ensure that Plas Isaf becomes one of north Wales’ leading luxury lodge resorts.”