PPHE Hotel Group, the international hospitality real estate company, announced today the acquisition of a 13,000m2 mixed-use development site in East London. The strategically located plot, just minutes from Liverpool Street Station and close to the financial district and landmarks like Tower Bridge, is earmarked for PPHE’s first Select Service hotel in central London under the Radisson RED brand. This move builds on the brand’s appeal to a modern, tech-savvy traveller with an ‘ageless millennial mindset’.
This acquisition marks a significant expansion for PPHE Hotel Group’s presence in the London market and signals a continued commitment to its ‘Buy, Build, Operate’ business model. The new Radisson RED will join PPHE’s existing portfolio of upper-upscale Park Plaza properties and premium lifestyle offerings, which include art’otel and Holmes Hotel. Expected to open in 2029, the hotel will feature a minimum of 182 bedrooms, a restaurant, bar and gym, alongside 41,000ft2 of office space. The total investment for this project, including the site acquisition, is anticipated to be around £90m.
“This site will be a great addition to our development pipeline as we continue to extend our portfolio and presence in the London market,” commented Greg Hegarty, co-CEO of PPHE Hotel Group. “It is an exciting project which leverages our ‘Buy, Build, Operate’ business model and expertise as well as our multi-brand and multi-market segment strategy. We look forward to bringing Radisson RED to central London, following our recent Radisson RED openings in Berlin and Belgrade.”
The European Hospitality Real Estate Fund, a subsidiary of PPHE, will fund the initial acquisition. Construction finance for the development will be secured once the acquisition is complete and development plans are approved. This move aligns with PPHE’s broader strategy of growing its portfolio of core city-centre hotels across various market segments, with a focus on sustainability, targeting a BREEAM ‘Excellent’ environmental accreditation.
