Together provides six-figure bridging loan for iconic Preston hotel acquisition

Property lender Together has provided a six-figure bridging loan to finance the purchase of the former Park Hotel, one of Preston’s most historic buildings.

The landmark property on East Cliff, which dates back to 1883, was once a luxury hotel before being converted into Lancashire County Council offices in the 1950s. Vacant since 2011, the Grade II Listed building has fallen into disrepair.

Together, a property lender with a loan book of £8.1bn, provided Heaton Group with the loan to buy the property from the council with plans for a major redevelopment of the site, which will see the Park Hotel transformed into a 92-room hotel complete with a gym, spa and restaurant.

In addition, 8 East Cliff will be renovated and converted into nine supported living apartments, while the grounds will be developed to include new-build blocks delivering 239 residential apartments.

Ritchie Watson, corporate sales director at Together, said: "This is an exciting opportunity to bring one of Preston’s most iconic buildings back to life.

"Our finance has enabled the Heaton Group to secure the site and begin the journey of transforming it into a vibrant destination that will benefit the city for generations to come."

The development is near Preston train station, which has direct routes to major cities in the North West, as well as London and Edinburgh, and is just a short walk from the University of Lancashire and the city centre, which is undergoing an extensive regeneration programme.

The aim is to create a destination to attract visitors to Preston, whilst bringing back to life an impressive building.

Phase one will focus on acquiring the property and making it watertight to prevent further deterioration, with further works planned for early 2026.

John Heaton, managing director at Heaton Group, said: "The Park Hotel is a cornerstone of Preston’s heritage. We’re proud to be delivering a scheme that combines regeneration, hospitality and housing.

“Together’s support has been crucial in making this acquisition possible and having a long term partnership with Together has meant we have been able to move quickly, and begin bringing a very special piece of history back to life."