Interstate signs management agreement for 18 properties in UK
US-based Interstate Hotels & Resorts has signed 18 management agreements with an affiliate of Cerberus Capital Management for its hotel portfolio in the UK.
The new deal increases the Interstate's UK division's hotel-portfolio to 59 in the country.
Interstate Hotels & Resorts CEO Jim Abrahamson said: "The UK continues to be a priority strategic growth area for Interstate, and it is gratifying to see our portfolio expand in the region through a new relationship with a world-class owner.
"Our formidable and owner-centric UK team, supported by Interstate's global scale and experience, will successfully transition and operate these hotels, generating increased profitability and optimised asset value for our client."
The 18-hotel portfolio includes 2,443 guestrooms, covering the Holiday Inn and Crowne Plaza branded properties.
Under the deal, Interstate will manage a 216-room Holiday Inn Gatwick London Airport, 142-room Holiday Inn Farnborough, 202-room Holiday Inn Reading South, 188-room Holiday Inn Leicester, 144-room Holiday Inn Hemel Hempstead, and a 139-room Holiday Inn Aylesbury, as well as a 130-room Holiday Inn Southampton.
The deal also includes a 112-room Holiday Inn High Wycombe, 101-room Holiday Inn Edinburgh City West, 135-room Crowne Plaza Leeds, 158-room Holiday Inn Coventry, 107-room Holiday Inn London Bexley, 125-room Holiday Inn Gloucester, Cheltenham, and a 105-room Holiday Inn Maidstone, Sevenoaks.
In addition, the portfolio comprises an 86-room Holiday Inn Basingstoke, 24-room Holiday Inn Fareham, 100-room Holiday Inn Hull Marina, and a 129-room Holiday Inn Southampton.
Interstate's UK managing director Robert Crook said: "With these new hotels, Interstate is now one of the largest operators of IHG franchised assets in the UK., managing 40 IHG branded hotels, and raising our total rooms under management to more than 7,300."
Interstate, along with its affiliates, manages 440 hotels with nearly 80,000 rooms in North America, Europe and Asia-Pacific.