The four-star Hilton Newcastle Gateshead hotel was purpose built on the banks of the River Tyne in 2004 and sold by Aviva Investors, who originally forward-funded the development of the hotel. Having completed its hold period business plan, Aviva took the opportunity presented by the strong recovery of the regional investment markets at the time to realise its interest in the asset. The hotel is let to Hilton Worldwide Ltd until 2029 and CuthbertWhite represented the purchaser – USS – in the successful acquisition of £37.7m, which provided a net initial yield of 6.96%.
CuthbertWhite assisted us in acquiring Hilton, Newcastle acting jointly with DTZ. They worked very well with the joint agents and added value to the buying process continuing to provide reliable advice. We look forward to working with them again shortly.