Bid Deadline Set for Reading Hotel on Sale for £4.5 Million

Posted by Colliers on 7th December 2020 -

A bid deadline of 9 December has been set for the sale of the purpose-built hotel Ibis Styles Reading Oxford Road, after it attracted keen interest from a substantial number of would-be purchasers.

The 97 bedroom hotel, which has a supportive pre-application with Reading Borough Council for conversion to 73 residential apartments, was put up for sale for £4.5 million in late October by Colliers International on a current or alternative use basis.

It is presently being operated under the globally recognised Ibis Styles brand as a limited service hotel. Located on a 0.74-acre site in a prominent roadside position, it presently comprises 97 en suite bedrooms, an open plan bar, lounge, restaurant and reception area, plus a meeting room with space for 30 people. There is access to underground and surface parking, totalling 76 spaces.

Paul Barrasford, Director in the Hotels Agency team, who is handling the sale on behalf of the private owner, commented: “Since launching our marketing in late October, we have received substantial interest from a broad range of profiles, both domestically and from overseas.

“These have included hoteliers and investors looking to continue the hotel business; reflecting the strong demand for substantial, branded hotel stock where the long term future still looks positive.

“In addition, we’re expecting bids from a number of residential developers,a sector of the economy which has shown great resilience during the pandemic.”

James Burke, associate director in the Residential Development team at Colliers International, said: “Interest from residential developers in this site has been strong. It benefits from an excellent location in Reading and provides proximity to the town centre whilst maintaining easy accessibility to the wider Berkshire countryside.

“This is a great opportunity for developers who are seeking an unconsented site to activity add value to through  gaining  planning consent. Reading Council’s response to the vendor’s pre-application is supportive of a change of use and encouraging in the principle of residential development.

“Offers are expected on an unconditional basis and we would strongly encourage any interested party to both get in touch for further information and to submit an offer.”