Lancashire County Pension Fund buys £4.8m Blackburn hotel
Maple Grove Developments, part of the Eric Wright Group, has sold its 60-bedroom Premier Inn hotel and 3,500 sq ft ground floor restaurant at Blackburn Cathedral Quarter to Lancashire County Pension Fund for £4.8mThe investment, orchestrated by Knight Frank Investment Management, represents a net yield of 5.79 per cent.
The £16m town centre regeneration project, pioneered by Blackburn and Darwen Borough Council and Maple Grove Developments, will create a new mixed-use commercial quarter around the cathedral fronting the railway station and a new bus interchange.The scheme, which is being built by Eric Wright Construction, is scheduled for completion at the end of September 2015, with the Premier Inn due to open 9 November 2015.
Graham Pilkington, senior development surveyor at Maple Grove Developments, said: “We’re delighted to have secured a deal with Lancashire County Council for the new Premier Inn and ground floor restaurant, which shows the local authority’s confidence in the scheme and its role in regenerating Blackburn town centre." Ben Ward, investment manager at Knight Frank Investment Management, added: “As well as offering attractive inflation-linked returns for the fund, this property development supports regeneration within the county.”