Jastar Capital acquires Native Bankside aparthotel for £40m

Jastar Capital has acquired Native Bankside, a London aparthotel property, through Create REIT for in excess of £40m. 

The property, which is a five-year-old development with 75 units, will continue to be operated by Nated Places under a new long-term management agreement with Jastar Capital. 

Native Bankside is the UK’s first ‘BREEAM Excellent’ aparthotel, which “illustrates the premium achieved for the most sustainable developments”, as the government clamps down through the Energy Performance Certificate (EPC) regime on less efficient properties.

In addition, the venue is walking distance from the Borough Market and Southwark Bridge.

According to JLL, serviced apartments are the fastest growing sector in hospitality, as there is “considerable” scope for continued growth within the UK market. 

Jastar Capital is a family-owned business specialising in active asset management and value add opportunities in the hotels, real estate and private equity sector.

Jay Matharu, acquisitions director of Jastar Capital, said: “We are excited by the growth potential for aparthotels. There is no better asset in the sector south of the river than Native Bankside. It is in a superb, vibrant location and is expertly managed by Guy Nixon and the Native Places team, who we look forward to working alongside. It is a fantastic addition to our portfolio.”

Guy Nixon, CEO and founder of Native Group, added: “Aparthotels are a safer haven than traditional hotels, partly because customers stay for longer periods, which results in lower turnover and servicing costs, which in turn creates a leaner cost structure, delivering stronger profit margins for investors.

“We are excited by the potential for growth at Native Bankside through our new partnership with Jastar.”