CBRE advises Castleforge on financing for the Abbey Hotel in Bath
CBRE’s Debt and Structured Finance team has advised the UK based fund manager Castleforge on the financing of their purchase of the Abbey Hotel, a Marriott Tribute Portfolio Hotel, and two adjoining buildings in the centre of Bath. The financing was provided by Virgin Money.
The debt financing will be used on the acquisition and refurbishment of the property. The Abbey Hotel is Castleforge’s fourth hotel acquisition in the last 12 months as the firm continues to strengthen its portfolio in the hospitality sector. Castleforge has appointed Axiom Hospitality to manage all four assets.
We are delighted to have secured this financing on behalf of Castleforge for their latest milestone hotel acquisition. This transaction further demonstrates the eagerness from lenders to support established sponsors when investing in strategic assets with strong fundamentals. Through a comprehensive financing process and in-depth sector understanding, CBRE were able to secure the most accretive financing terms in the market for Castleforge.
We are pleased to have completed this financing with Virgin Money. They have provided attractive terms which reflect our assessment of the asset’s strong fundamentals and further potential, hereby supporting our continued expansion in the UK hotel market.
The Abbey Hotel Bath is a tremendous asset located in the heart of one of regional UK's strongest hotel markets. The combination of the Sponsor and Axiom Hospitality’s expertise with the added value of the recent rebranding represent an exciting project we are looking forward to supporting.
Castleforge Partners was advised by Taylor Wessing LLP and Clydesdale Bank by Burness Paull LLP.