Investor snaps up Pride Park hotel

A local investor has bought a prominent hotel on Derby’s Pride Park thanks to a deal completed by FHP Property Consultants.

The unnamed investor has bought the Travelodge Hotel, closed to Derby County’s, Pride Park Stadium, for £4.825 million.

The hotel comprises 84 bedrooms with 87 parking spaces and is leased to Travelodge Hotels Ltd with a further 21 years left to run on the lease.

David Hargreaves, from FHP, who acted on behalf of the investor, said: “This hotel, close to Derby County’s football stadium and Derby Arena, is a well-known national brand, which trades well off affordable room rates.

“The investment offered our client a secure long term income stream of 21 years, with the landlords having the right to ask Travelodge to take a further lease for eight years when the current lease expires in 2044.

“Furthermore, the rent, which equates to £3,655/bedroom, is index-linked to the Retail Price Index without a cap, which should guarantee good rental and capital growth over the coming years.”