LXi REIT acquires Cambridge Belfry Hotel for GBP18.53m
LXi REIT has acquired the Cambridge Belfry Hotel at Cambourne, Cambridge for GBP18.53 million, reflecting a net initial yield of 6.1 per cent on the asset acquisition (net of acquisition costs to the company).
The property is fully let to Marstons Hotels and guaranteed by its parent, QHotels.
QHotels is a four star hotelier, founded in 2003, that has since grown to 26 hotels with over 3,650 bedrooms across the UK and with net assets of GBP360 million.
The lease has an unexpired term of over 22 years (expiring in May 2039), without a break, and is subject to five yearly upward only rent reviews index-linked to the Consumer Price Index (collared and capped at 1 per cent p.a. and 4 per cent pa compound). The next rent review is due in June 2019.