Clydesdale Bank and Leumi UK partner in a significant refinancing deal
Clydesdale Bank, owned by Virgin Money, and Leumi UK, the London-based subsidiary of Israel’s leading international bank, have completed a two-bank club deal for the owner of 100 Queen’s Gate Hotel London, Curio Collection by Hilton, South Kensington.
The banks have agreed a 50:50 deal, to refinance an existing lender and provide additional liquidity to the owner-operator London Kensington Hotel Ltd.
Peter Upton, senior director, hotel finance at Clydesdale Bank comments: “We are delighted to support the refinancing of 100 Queen’s Gate Hotel. The facilities provided in collaboration with our partners, Bank Leumi UK, have been tailored to support the needs of the business to ensure its resilience in the coming months. The sector continues to feel the pressure of the Covid-19 pandemic and this deal will ensure the management team has the flexibility to navigate the challenges ahead”.
Stephen Welch, senior relationship manager, hotel finance at Leumi UK, says: “Providing additional liquidity to operating hotels is a core part of what we do, and we were keen to build the right solution that would support the team at London Kensington Hotel Ltd alongside our partners from Clydesdale Bank.”
Aly Kassam, CEO of Crimson Hotels, adds: “We are grateful for the support received from both Leumi UK and Clydesdale Bank as we navigate the challenges presented to us during the coronavirus pandemic. This facility provides an additional financial boost to ensure the hotel can continue to provide the exceptional standard of service our guests expect and was tailored to suit the specific working needs of our business.”
CMS (lawyers) and Cushman & Wakefield (valuers) acted for the lenders and Taylor Wessing acted for the borrower.