Edinburgh Hilton hotel receives £22m funding injection
The Hampton by Hilton hotel at Edinburgh Airport is set to be extended over three phases of development following the securing of a £22m debt refinancing facility.
Debt advisor Arc & Co has secured the three-year commercial loan from bank OakNorth on an interest-only basis.
The hotel was built in 2018 and sits opposite Edinburgh Airport’s main terminal. If planning consent is secured, OakNorth will be providing the development facility for the works.
The borrower, Ability Hotels, is proposing to extend the existing site and if planning permission is secured, looks to add an additional 380 rooms to the 240-bedroom property site.
Ed Horn-Smith, managing director at Arc & Co, said: “The nature of this arrangement — not only of the initial facility, but also the provision of a subsequent development loan should planning permission be secured — puts a high premium on trust between all parties.”