Bloc Hotels purchased Dale House, which is situated directly opposite Queen Street Station which is currently undergoing a £120m redevelopment. Planning has been granted to replace the existing building with a hotel and retail space.
The hotel group is the brand behind designer hotels at Gatwick Airport and Birmingham Jewellery Quarter, as construction is taking place at the Bloc Grand Central hotel next to Birmingham New Street Station.
This latest addition to Bloc’s portfolio has been purchased from LGIM Real Assets, a division of Legal and General Investment Management. JLL advised Legal and General on this acquisition.
Dominic Mayes, Property Director at Bloc Hotels said: “We are really excited to have acquired this site and look forward to delivering Bloc Glasgow to this extremely vibrant part of the city.
“The property is in a prime location, directly opposite the recently redeveloped Queen Street Station, where the number of people using the station is set to increase by 40 per cent, reaching 28 million by 2030. This is another defining moment in the company’s ambitious growth strategy, as we continue to expand into key gateway locations.”
Craig Westmacott, senior fund manager for Legal and General added: “Since being listed for sale, Dale House has generated considerable interest from developers, investors and owner occupiers for a variety of different uses.
“Having strategically secured valuable hotel consent on the site, we are pleased to have now sold the asset to Bloc Hotels, who will develop their hotel brand on this important Glasgow city centre location.”
He added:“The sale brings to a conclusion a successful asset management strategy which has generated attractive returns for our investors.”