Western Daily Press (Saturday)
£24.6m growth loan for Bristol Airport hotel
ABILITY Group has secured a loan facility of £24.6m against the Bristol Airport Hampton by Hilton Hotel.
The property group, which owns the leasehold, secured the loan from ASK Partners. It replaces existing financing and will fund a proposed extension of the Hampton by Hilton-branded hotel, adding 50 new bedrooms to its existing 201. In September it was announced that the South West transport hub was investing over £60m in creating a public transport interchange hub and multistorey carpark to enhance services and accessibility for customers.
The project will include improved improved customer facilities such as waiting rooms and rest facilities, and forms part of the airport’s plan to enable 12 million passengers a year to use the airport. Not only is it hoped to increase passenger numbers but the expansion is predicted to create thousands of new jobs in the years ahead, open-up new direct air links, and support inbound tourism.
Daniel Austin, chief executive and co-founder at ASK said: “We were delighted to provide Ability Group with the funding required to expand this successfully operated hotel, managed by a wellknown brand, in line with the airport’s growth plans. The proposed build, in keeping with the original construction will extend the hotel without disrupting the hotel’s ongoing operations.
“Bristol Airport is the UK’s 8th largest airport, servicing commuters from south west England and Wales. With the increase in travel and terminal side hotel demand post-Covid, coupled with the Bristol airport expansion plans, we felt this was a strong business proposition that we were happy to underwrite.” Ability Group, which owns the long leasehold on the property, was advised by asset finance advisers Arc & Co.
Ed Horn-Smith, managing director at Arc & Co, added: “Situations such as this, featuring not only the refinancing of an existing facility but also providing development finance to extend a high performing asset, demand a lender with a firm understanding of the underlying fundamentals and the flexibility to provide a bespoke solution.
“ASK Partners has a strong track record on deals such as this, and it is fantastic to reach a position that works for all parties. We look forward to working with both Ability Group and ASK Partners on future projects.”