{"id":28067,"date":"2026-03-17T19:51:47","date_gmt":"2026-03-17T19:51:47","guid":{"rendered":"https:\/\/microvibenews.com\/?p=28067"},"modified":"2026-03-17T19:51:47","modified_gmt":"2026-03-17T19:51:47","slug":"lothian-pension-fund-in-23-4m-rose-street-deal-daily-business","status":"publish","type":"post","link":"https:\/\/microvibenews.com\/?p=28067","title":{"rendered":"Lothian Pension Fund in \u00a323.4m Rose Street deal \u2013 Daily Business"},"content":{"rendered":"

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Hub by Premier Inn in Rose Street<\/em><\/figcaption><\/figure>\n

Lothian Pension Fund has acquired a building in central Edinburgh, currently leased to a Hub by Premier Inn and five retail and leisure units.<\/p>\n

The fund is paying Oval Real Estate \u00a323.4 million for Hanover Buildings at 66-84 Rose Street. The acquisition price reflects a net initial yield of 5.66%.<\/p>\n

The 145-bed hotel is secured on a long index-linked lease and accounts for approximately 70% of the scheme\u2019s overall income. Units are occupied by Lucy & Yak, William Hill, Cotswold Outdoor, Assaggini and Veeno.<\/p>\n

Colin Finlayson, director of Lismore Real Estate Advisors which advised on the deal, said: \u201cInvestor demand for hotels across the UK remains particularly strong and this is increasingly evident in Edinburgh, where global tourism and business travel continue to underpin robust occupancy levels. <\/p>\n

\u201cWith supply relatively constrained, well-located, income-secure assets such as Hanover Buildings are attracting significant interest and offering compelling long-term returns for our client.\u201d<\/p>\n

Nicola Barrett, portfolio manager of Lothian Pension Fund added: \u201cHanover Buildings is a high-quality, income-producing asset in a prime city-centre location.<\/p>\n

\u201cThe strength of the hotel covenant, combined with diversified retail and leisure income, aligns well with our strategy of securing resilient, long-term real estate investments that deliver stable returns for Lothian Pension Fund.\u201d<\/p>\n

Elliot Cassels, director at Westwood Real Estate, said: \u201cThe property generated interest from UK funds and overseas buyers who were attracted to the long index-linked hotel lease, and the vibrancy of the ground floor retail and leisure mix, where tenant and investor demand has rebounded in recent years.\u201d<\/p>\n

Lismore and CMS advised Lothian Pension Fund on the acquisition, whilst Westwood Real Estate and DLA acted for the vendor, Oval Real Estate.<\/p>\n

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