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Whitbread will convert the former Lambeth Council’s 10-storey office in Vauxhall into a Premier Inn hotel.
The move follows Lambeth Council reducing the number of offices it runs from 14 to two in a bid to save money and use the majority of its buildings to create new homes, generate income and offer more “modern” customer services.
The council will grant a lease on Phoenix House to Whitbread, subject to planning permission, while keeping the longer-term head lease which has the majority of its 999-years remaining.
Jonathan Langdon, senior acquisition manager for Whitbread, said: “We have been actively seeking the right location for a Premier Inn in Vauxhall for nearly ten years. Phoenix House offers an ideal location for our customers, and we anticipate it will be a popular choice for guests looking for excellent transport connections, unique cultural experiences, and vibrant nightlife.
“The first Premier Inn in Central London was an office-to-hotel conversion at County Hall in north Lambeth in the late 1990s. Since then, we have successfully transformed former office buildings into thriving hotels across the capital—revitalizing spaces, creating fantastic destinations for our guests and new job opportunities for local people.”
He added: “We look forward to bringing our expertise to the transformation of Phoenix House and, subject to planning permission, adding Vauxhall to the growing list of high-profile Premier Inn locations in Central London.”
The council vacated Phoenix House in 2019 as part of the award-winning Your New Town Hall scheme.
Initial attempts to rent out the building to an international office operator were unsuccessful after the firm experienced financial difficulties. During the covid-19 pandemic when demand for buildings of this size was depressed, the council used the offices as temporary space for specific projects.
Cllr David Amos, Lambeth’s Cabinet member for finance, said: “I’m delighted that we have agreed a rental agreement that will see this property brought back into use, boost the local area and create income for the council at a time of unprecedented financial strains on our budget.
“A hotel operator was chosen as the best option for Phoenix House because as well as getting rent for the council it supports our work to boost evening activity in the area which is one of the London Mayor’s Night Time Enterprise Zones.”
He added: “The building will also be brought back into use at a high level of environmental sustainability standards and create new job opportunities for local people. We are ambitious for our town centres and expect that this agreement, if concluded, will be a catalyst for making further improvements to Vauxhall with the aim of making it a far more attractive and safe place to both live and visit.”
