The Dragonfly (Cromwell) Hotel
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- Aileen Reed
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1 AN EXCITING OPPORTUNITY TO ACQUIRE The Dragonfly (Cromwell) Hotel STEVENAGE
2 SUMMARY Grade II listed hotel Superb trading location on Stevenage High Street 76 en suite bedrooms and associated public areas Restaurant, bar, function suite (150) and business centre Drawings and costings available to develop new gastro pub Freehold Total Net Revenue for the year ending December 2015 forecast to be 1.47m
3 BACKGROUND Colliers International is delighted to have been instructed by RBS to offer for sale the Dragonfly Hotel, Stevenage. Originally two private houses, the property has been operated as a hotel since the 1930s. The main house (which we understand is Grade II listed) has been extended over the years; the hotel today comprises 76 bedrooms, restaurant, bar, function suite (150) and business centre. The hotel occupies a prominent trading position on Stevenage High Street. The surrounding area of this affluent Hertfordshire town is home to major employers including GSK, Airbus Defence & Space, Stevenage Bioscience Catalyst and MBDA (Source: Stevenage.Gov). From a leisure guest s perspective, the hotel is an ideal base for visiting nearby attractions which include Knebworth House, Hatfield House, Duxford Imperial War Museum, Harry Potter World, Woburn Safari Park, Whipsnade Zoo, and Paradise Wildlife Park. The hotel enjoys convenient links to the region s transport network with Junctions 7 and 8 of the A1 (M) both within circa 3 miles. London Luton Airport is 14 miles to the west. London s Kings Cross Station is only a 27-minute train ride away from Stevenage Station, which is just 1 mile from the hotel. The hotel is currently operated by Jupiter Hotels and branded as a Dragonfly Hotel. It is available free and clear of the current management arrangement with Jupiter Hotels and the Dragonfly branding.
4 SUMMARY BACKGROUND 1 THE HOTEL FURTHER INFORMATION CONTACT 2 The Dragonfly (Cromwell) Hotel The Dragonfly (Cromwell) Hotel BACK NEXT
5 THE HOTEL ACCOMMODATION 76 bedrooms located to ground, first and second floors; comprising 59 double, 5 family, 2 twin, 2 accessible 2 interconnecting and 6 single bedrooms. We have been informed that a number of bedrooms and en suites have been refurbished in recent years. All rooms offer free WiFi, flat screen TV with Freeview, and tea and coffee making facilities. PUBLIC AREAS The property boasts extensive public areas including: n Oliver s Restaurant (35) with adjoining bar (22) and Bar (circa 50 covers) n The Cromwell Suite (main function suite with capacity for around 150 persons) n Business Centre: comprising 5 meeting rooms n Terrace (to the front of the hotel) with seating for around 30 persons. Interested parties should note the property benefits from a costed and drawn scheme to convert three of the meeting rooms and reconfigure some of the existing restaurant space to create a gastro pub. It is the Agent s opinion that this element of the property is an exciting value add opportunity; with the potential and additional revenue created likely to far outweigh that generated from the three (of five) meeting rooms which would be converted. Ladies and gents toilets are located to the ground floor.
6 MEETING FACILITIES ROOM NAME MAX CAPACITY STYLE A/C Boardroom 15 Boardroom Yes Millennium 50 Theatre Yes Astra 20 Boardroom Yes Satellite 10 Boardroom Yes Terrace 12 Boardroom Yes Cromwell Suite 150 Banqueting Yes SERVICE AREA Substantial kitchen centrally located allowing ease of service to both the Cromwell Suite and the Restaurant; located to the rear and front of the hotel respectively. Additional back of house areas include two offices; utilised by General Manager and Main Departments. OUTSIDE To the front: n Terrace with seating for approximately 30 persons To the rear: n Car park for approximately 80 vehicles n Enclosed lawned area occasionally used in conjunction with the Cromwell Suite.
7 FURTHER INFORMATION SERVICES The owners inform us that mains gas, water, drainage and electricity are connected to the property. LICENCES The property has a Premises Licence and Licence to hold civil marriage ceremonies. TRADE The hotel is currently operated by Jupiter Hotels. It is intended to sell the hotel free and clear of the current arrangement with Jupiter Hotels. If parties are potentially interested in retaining the services of Jupiter Hotels, then please liaise with Colliers International who will make the appropriate introductions. The hotel has previously been branded as a Ramada and subsequently a Clarion hotel. On the 1 April 2015, the hotel was rebranded as a Dragonfly Hotel. The vendor will consider the Dragonfly Hotel brand being sold with the hotel, although this is only likely to be possible if the hotel forms part of a wider Dragonfly Hotels portfolio transaction. The trading performance (with NOI stated before Management Fees and Replacement Reserves) is summarised as: Y/E DECEMBER 2015 (F) '000 Y/E DECEMBER 2014 '000 Y/E DECEMBER 2013 '000 Net Turnover Net Operating Income More detailed trading information is available in the Data Site; the log in details for which are available from Colliers International. Jupiter Hotels have sought to rationalise the management of the hotel to improve operational efficiency and reduce costs. Accordingly, we are of the opinion that the hotel provides a great opportunity for the successful purchaser to invest in the property and benefit from the operational changes that have been recently undertaken to materially enhance the trading performance
8 Given the strength of the trading location, it is the Agent s view that substantial scope still remains to increase revenues and profitability, in particular through: n Implementation of the gastro pub scheme SKETCH VISUALS FOR THE REFURBISHED RESTAURANT n Growth of the wedding/ MICE business n Grow Average room Rate and Occupancy deriving from refurbishment and/or capitalising on the strong corporate and leisure business drivers in the area. PROPOSED SKETCH LAYOUT PLAN FE VIEWINGS In the first instance, customer viewings may be undertaken, but after which point, all appointments to view MUST be made through the vendor s agents who are acting with sole selling rights and will accompany the viewings. Banquette seating with feature mirrors and wall lights above High drinks shelf and stools High poseur tables and stools Please note that parties are requested not to discuss the sale of the hotel with any members of staff and that ALL enquiries must be channelled through Colliers International. All interested parties should liaise with James Williamson or Paul Barrasford of the appointed selling agents to discuss the opportunity in more detail and/or to arrange a formal viewing of the property. Contact details are provided at the end of this brochure. PRICE Offers in the region of 3,950,000 are invited for the hotel s freehold interest to include goodwill and trade contents, excluding personal items. Stock will be at valuation. New banquette seating Buffet counters Captains table/ buffet table New carpet Waiter station Loose sofa to bay window Copper dividing shelving Cosy seating niche with feature pendants above Waiter Stn Tiled floor insert Curved banquette Floor lamp Wood burner to bay window stove to existing fireplace Private dining ENTRANCE to GASTROPUB New bar and back bar Engineered stone drinks shelf with copper bracket detail ACCESS TO EXISTING CELLAR Remove section of existing partition. New curtain to private dining. Mixed FF&E at entrance
9 SKETCH VISUALS FOR THE REFURBISHED GASTROPUB AND ENTRANCE
10 CONTACT James Williamson Director of Hotels Agency D: M: E: Paul Barrasford Director of Hotels Agency D: M: E: Colliers International 50 George Street London W1U 7GA Colliers International gives notice that these particulars are set out as a general outline only for the guidance of intending Purchasers or Lessees and do not constitute any part of an offer or contract. Details are given without any responsibility and any intending Purchasers, Lessees or Third Party should not rely on them as statements or representations of fact, but must satisfy themselves by inspection or otherwise as to the correctness of each of them. No person employed or engaged by Colliers International has any authority to make any representation or warranty whatsoever in relation to this property. (July 2015) Colliers International is the licensed trading name of Colliers International Property Advisers UK LLP which is a limited liability partnership registered in England and Wales with registered number OC Our registered office is at 50 George Street, London W1U 7GA.
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