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Secure Income buys 55 Travelodge properties for €232 million

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Published on 14/10/16 - Updated on 17/03/22

TRAVELODGE

The real estate investment firm Secure Income REIT Plc, known for its investments in leisure and health sectors, is diversifying in the hotel industry; the group has announced the takeover of 55 properties operated under the brand Travelodge for 232 million euros.

With the purchase 55 units operated under the economy brand Travelodge, the investment firm estimates an annual rental income of 16.2 million euros. This acquisition will follows renovations begun by Travelodge at its hotels in 2014 for £100 million (approximately 140 million euros); these 55 units benefited from these renovations. These properties are mostly located in Scotland and England. They represent a portfolio of 3,096 rooms and will continue to operate under the Travelodge brand.

The investment firm has a diversified portfolio in the United Kingdom in the health sector (19 private hospitals in Great Britain, a psychiatric hospital in the center of London) and leisure sector (in 2007, Secure Income REIT Plc bought four amusement parks. The firm owns Thorpe Park and Alton Towers, which is operated by Merlin Entertainment).

Travelodge belongs to a consortium of investors: GoldenTree Asset Management, Avenue Capital Group and Goldman Sachs Group. As of January 1, 2016, Travelodge ranked 56th in the global ranking of hotel chains and residences, with 490 properties totaling 36,092 rooms, according to data published by Hospitality ON.

Travelodge

Travelodge

Hotel Group

  • Travelodge United Kingdom
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