The Amaris hotel platform is in growth mode once more, after new owner LRC acquired seven Doubletree branded properties from seller Oaktree.
The move takes Amaris to 30 properties, while LRC has publicly stated its desire to grow the group to 50 hotels around the UK.
Privately backed LRC has, to date, preferred other commercial properties, and some residential rental, but signalled its foray into the hotel sector by purchasing the remaining UK hotel assets of Lone Star, under the Amaris brand. The pending deal was revealed in January, with the price of close to GBP600m said to represent a blended yield of around 7%.
The Amaris portfolio started in LRC’s hands with 23 assets, having 3,800 rooms and hotels trading under the Hilton, Hilton Garden Inn, DoubleTree by Hilton, Mercure and Ibis Styles brands. To this, the Oaktree Capital Management transaction adds DoubleTrees in Bristol North, Strathclyde, Southampton, Dartford Bridge, Newbury North, Coventry and Edinburgh Airport.
John Brennan, former CEO of Amaris, will be retained as non-executive chairman, and a strategic advisor. Peter Stack, formerly head of asset management, has been promoted to managing director.
LRC has said it wants to “create a high performing, long-term investment portfolio of over 50 high-quality, internationally-branded hotel assets”.
Peter Stack commented: “We have ambitious growth plans for the business. Our strategy will continue to focus on developing and growing our employees, achieving operational excellence and creating a high performing hotel portfolio with a view to delivering long-term, sustainable returns for investors. Key to our strategy will be acquiring and investing in established hotels trading under acclaimed international brands in key strategic locations.”