Hilton Hotels sells Metropole sites for more than £400m

19 October 2006
Hilton Hotels sells Metropole sites for more than £400m

Hilton Hotels

Contracts have been exchanged with Dr Edward Wojakovski's family owned Tonstate for the 1,054-room Hilton London Metropole and the 794-room Hilton Birmingham Metropole.

The above book value cash deal is expected to complete before the end of this year.

Hilton will retain long-term management contracts on both hotels and Tonstate will continue to fund the renovation programmes currently being undertaken at both properties.

Robert M La Forgia, executive vice-president and chief financial officer of Hilton Hotels Corporation, said: "With the expected completion of the sale of the two Metropole properties, our very successful asset sale programme will have delivered more than $2b (£1.06b) in proceeds since early 2005."

Hilton plans to put further properties on the market and is also "evaluating alternatives" for its northern European Scandic brand, he added.

Hilton, which was advised by Christie & Co and SJ Berwin, will use the proceeds from the sale of these hotels to pay down debt.

Tonstate was advised by CBRE Hotels and DLA Piper.

Metropoles put up for sale >>

Hilton puts 15 hotels on the market >>

Hilton considers Scandic's future >>

Hilton sold to US cousin >>

CatererSearch100 profile: Ian Carter, chief executive, Hilton International >>

Hilton corporate website >>

By Emily Manson

E-mail your comments to Emily Manson here.

Get your copy of Caterer and Hotelkeeper every week -

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.

close

Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking