Today’s news in brief – 27/3/25

Cawdor House, a Victorian guest house in Nairn, Scotland, has been listed for sale at £1.05m. Originally built as a Manse for the Free Church, the property has been extensively renovated while preserving its historic features. It offers five individually designed guest rooms, a lounge, a breakfast room, and private gardens. Nairn, located 17 miles from Inverness, attracts tourists with its golf courses, beaches, and historic sites. The sale is being managed by Christie and Co, with demand high for small, high-quality guest houses in accessible locations.  

Travelodge reported a slight revenue increase to £1.036bn in 2024, benefiting from sports events and concerts. However, softer market rates impacted its EBITDA, which fell 11% on a comparable basis to £211.5m. The hotel chain continued investing in quality through room upgrades and a multi-channel marketing campaign. Despite a solid performance, market rates, especially in London, remained a challenge. Travelodge is optimistic about long-term growth, focusing on expansion in the UK and Spain. However, early 2025 showed a slight decline in RevPAR, particularly in London due to weaker corporate demand.  

Labour costs in UK hotels have surged by 34% over five years, outpacing revenue growth, according to CoStar. National living wages have increased by 46% since 2018, rising to £11.44 per hour in 2024/25, with further increases expected. Employers also face rising national insurance contributions, further squeezing profit margins. London hotels are less affected due to higher room rates, while regional hotels, with greater food and beverage needs, experience lower profit margins. Hotel owners must find efficiencies without compromising service to maintain profitability amid increasing costs.  

Montcalm Mayfair, Autograph Collection, has reopened after a two-year renovation. The 151-room luxury hotel features three signature suites, including the Botanical Suite with a private entrance. The Royal Suite and Presidential Suite house curated art collections. The hotel includes Lilli by Akira Back, a restaurant blending British cuisine with global influences, a spa with immersive soundscapes, and a Grand Ballroom for 350 guests. The renovation, led by Holland Harvey and Studio Est, aligns with Montcalm’s focus on unique, design-driven hospitality. The hotel joins The Montcalm Collection’s portfolio of luxury properties.