ORCHARD STREET COMPLETES ACQUISITION OF TWO HOTELS IN NEWCASTLE, UK
London-based asset manager Orchard Street Investment Management has completed the acquisition of two hotels in Newcastle for a combined £38 million (£135,000 per room), from Union Property Development Ltd. The deal included the purchase of the 120-room Travelodge Quayside, which opened in 2017, as well as the adjacent, forward-funded 161-room INNSIDE by Melia, Newcastle, which is set to open in summer 2020. Both hotels are supported by 25-year leases subject to inflation-based rent reviews every five years. The combined purchase price reflects a net initial yield of 4.5%.