Henderson Park to snap up Metropole hotels for £500m

Henderson Park is understood to be under offer to buy the Hilton London Metropole and Hilton Birmingham Metropole hotels from Tonstate for a price in excess of £500m, in one of the largest deals in the UK hotel market this year.The 1,059-room London hotel and the 790-room Birmingham property are being sold by the family-owned Tonstate Group, which is headed up by property mogul Edward Wojakovski. Tonstate acquired the two four-star hotels from Hilton in 2006 for £417m. Property Week understands that the yield on the London property is around 5%, and that of the Birmingham hotel is around 8.5%. The Paddington asset, located on Edgware Road, is the largest Hilton-operated hotel in Europe. Meanwhile, the Birmingham hotel is in a prime location adjacent to the city’s National Exhibition Centre. London & Regional was on the pole to acquire the properties earlier this year, but the deal did not go through. CBRE Hotels is advising Tonstate on the sale. All parties declined to comment.