Hotel and wedding venue - case study
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Hotel and wedding venue - case study
Trading Law of Property Act Receivership of 120 room hotel and wedding venue, resulting in the hotel’s sale and repayment in full to the secured lender.
- Sector – Hospitality & Leisure
- Debt - £1m+
- Number of employees – 35
Situation
Lender wishing to exit due to loss-making business. Owner unable to sell due to unrealistic value of hotel.
Approach
Appointed LPA Receivers of hotel by secured lender. Negotiated with business owner to allow specialist management agent to continue to operate the business whilst the hotel was marketed for sale.
Implemented strategy to trade the hotel for 12 months to facilitate a sale as a going concern.
Following a successful marketing campaign, a going concern sale was achieved to a national hotel group in month 9.
Impact
Hotel sold as a going concern for £1.5m, resulting in repayment in full to the secured lender and all jobs saved.
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