Partly Cloudy

Partly Cloudy

max temp: 8°C

min temp: 4°C

Search

Bury St Edmunds/ Colchester: 130 jobs saved by sale of Quality Hotel sites by administrators of owners Barinbrook

17:55 25 March 2014

The Quality Hotel in Bury St Edmunds, which has previously operated under the Ramada and Butterfly brands.

The Quality Hotel in Bury St Edmunds, which has previously operated under the Ramada and Butterfly brands.

More than 130 jobs have been saved with the sale of five hotels owned by Barinbrook Ltd, which went into administration last month.

shares

The three-star Quality Hotel-branded properties in Bury St Edmunds, Colchester, King’s Lynn and Peterborough, together with the four-star Clarion Collection Cromwell Hotel in Stevenage, were operated by Barinbrook on a leasehold basis, with the freehold owned by Royal Bank of Scotland (RBS) following a previous spell in administration.

Working with the Barinbrook administrators, from restructuring services firm Zolfo Cooper, RBS negotiated the acquisition of the hotels’ fixtures and fittings by Scottish-based property company West Register and the surrender of the leases.

The management of the five hotels, which have a total of 133 employees, will now be taken over by Jupiter Hotels, a 50:50 joint venture between RBS and property investment group Patron Capital. RBS said that, as well as saving jobs, the rescue would allow the hotels to honour bookings for 67 events, including a number of weddings, for which deposits had been taken or advance payment made.

Helen Gordon, global head of RBS Real Estate Asset Management, said: “We believe that this agreement represents the best possible outcome for the hotels and their staff, as they are able to continue trading and leverage both RBS and Jupiter’s expertise in the hospitality sector.

“We are also very pleased that our quick action has allowed us to honour a number of bookings for important and often once in a lifetime events such as weddings, which had already been paid for and were therefore at risk.

“Furthermore, we have been able to increase Jupiter Hotels’ exposure to midscale hotels as we look to return these businesses to profitability, and establish Jupiter as a market leader in this segment.”

Shane Harris, chief executive of Jupiter Hotels, added: “The addition of these five new hotels is a positive move for us, representing an increase of almost 20% in the size of our portfolio and establishing us as a multi brand leader in the midscale hotel segment.

“These management contracts enable us to establish a strong foothold in East Anglia, one of the UK’s fastest growing regional economies after London and the South East.

“We are committed to developing the Jupiter Hotels portfolio in the UK. Winning management contracts is a key part of our development strategy. We have a proven track record of successfully managing and operating hotels across the country and this expertise has been recognised by the parties who we’ve entered into agreements with.”

Nick Cropper, Peter Holder and Anne O’Keefe, partners at Zolfo Cooper, were appointed as administrators of Barinbrook previously known as Akkeron Hotels on February 26.

Mr Cropper said today: “We are delighted that a sale of these five hotels has been achieved and would like to thank the staff for their support and professionalism during this process.”

A sixth hotel operated by Barinbrook, the Himley Country Hotel at Dudley, was sold separately as a going concern on February 28, saving a further 42 jobs. All six hotels, which involve a total of 381 rooms, have continued to trade normally during their period under administration.

The same partners at Zolfo Cooper were also appoinited joint administrators of an associated company, Barinbrook (Central) Ltd, which owns the 71-bedroom Best Western Rockingham Forest Hotel in Corby. It too is trading as usual while efforts continue to find a buyer.

All seven hotels were acquired, either leasehold or freehold, by Akkeron Hotels in 2011 from the administrators of Butterfly Hotels Ltd and Crowne Hotels Ltd.

At that time, the hotels in Bury, Colchester, King’s Lynn, Peterborough and Stevenage were operating under the Ramada brand while Himley Hall was then operating as a Best Western hotel, together with the Rockingham Forest Hotel.

shares

0 comments

Air Training Cadets corps parading through Felixstowe to mark 75th anniversary of the movement

A number of air training cadets paraded through two Suffolk towns today to mark 75 years of the movement.

Artist's impression of The Wonderhouse in Colchester

A heritage centre project expected to showcase artefacts from the history of Britain’s oldest recorded town will not be going ahead as planned after representatives decided not to pursue further funding to complete the concept.

Town fans at QPR's Loftus Road ground on Saturday

There was late heartbreak for Ipswich Town’s 3,000 travelling fans as the Blues went down 1-0 at Queens Park Rangers.

Swans - outrage as swans killed in Sudbury Meadows

Police are investigating after a swan was allegedly killed and its body dumped in a hedge on the Sudbury meadows.

Major-General Townshend, Khalil Pasha and other unidentified officers after the surrender of the Kut garrison in 1916

The siege of Kut-al-Amarah... It hasn’t been looking good for the allied soldiers. Can they turn the tables? Mike Peters Galloway’s resident military historian, discovers what happened next in Mesopotamia (modern Iraq) 100 years ago

Bev Lambert, left, of the Over The Rainbow charity with the Moore familiy - Sarah and Kevin Moore with children Curtis (15), Ellie (12), Bethany (7) and Rhys (4).

An appeal to help a Suffolk family coping with a severely autistic child who is unable to sleep through the night has reached its target – after an anonymous donation for the full amount.

Charity evening on the ice at Winter Wondeland in Colchester

Suppliers, small businesses and individuals have “little chance” of getting any of the quarter of a million pounds they are owed from the collapse of Colchester’s outdoor ice rink.

Freston Tower

Dendrochronology is the scientific art of dating timber by comparing the patterns in the end grain of a sample from the building in question with the known growth of typical trees at the time, writes John Norman, of the Ipswich Society.

Tracy Root with Ruff and Tumble... or Tumble and Ruff. 'I definitely love cats as much as dogs, but I think dogs give you more back than a cat'

The BBC has set the cat among the pigeons with the launch of a short series with a provocative title – Cats v Dogs: Which is Best?

QD Stores logo

A man has been arrested on suspicion of causing a disturbance at an Ipswich branch of QD.

Most read

HOT JOBS

Show Job Lists

Topic pages

Streetlife

Great British Life

Great British Life
MyDate24 MyPhotos24