Whitbread, the owner of Premier Inn, has secured planning permission for a 294-bedroom hub by Premier Inn hotel at 191 Old Marylebone Road in Marylebone, London NW1.
Granted by LB Westminster on Tuesday 26 June, the decision unlocks a major redevelopment of a site that Whitbread purchased freehold in 2016.
191 Marylebone Road is just a few minutes’ walk from both Marylebone and Paddington mainline stations and adds another Zone 1 hotel into Whitbread’s expanding portfolio in a key growth market for both the Premier Inn and hub by Premier Inn brands.
The new hub by Premier Inn at Marylebone is expected to open in 2021, generating approximately 60 new jobs. There are currently seven hub by Premier Inn hotels open and trading in London with a further seven in planning or construction.
Owen Ellender, Development Manager for Whitbread, said: “We’re investing in building our hub by Premier Inn brand across London and this site in Marylebone where two transport hubs meet is the ideal location. This project demonstrates Whitbread’s capability to deliver on effective real estate deals, purchasing assets freehold and securing hotel consents. The flexibility to do the right deal for the best sites is what marks Whitbread out and 191 Old Marylebone Road is an excellent example of this approach in action.”
191 Marylebone Road is a former 54,000 sq ft office building which Whitbread purchased (freehold) for £31.25m with vacant possession. Whitbread will regenerate the site for a 13-storey hotel use with a ground floor café in line with the hub by Premier Inn brand.
Derek Griffin, Head of Acquisitions – London and South & East England for Whitbread, said: “Whitbread’s property strategy enables the business to invest in both freehold and leasehold sites in order to secure the best locations and the best returns on capital invested. The 191 Old Marylebone Road scheme is a prime example of Whitbread identifying a location, taking informed planning risk on a change of use, and bringing an excellent new site into the operational hub by Premier Inn portfolio.”
The decision was made by LB Westminster’s Planning Applications Sub Committee – the Committee resolved to grant the application subject to the agreement of a Section 106.
In its last financial year, Whitbread secured deals for 31 new Premier Inn and hub by Premier Inn hotels across the UK, contributing a further 4,300 rooms to the secured development pipeline. In its Preliminary results presentation on 25 April 2018, the business confirmed it has more than 14,700 Premier Inn and hub by Premier Inn bedrooms in its committed pipeline and expects to achieve its target of 85,000 bedrooms by 2020.
Two new hub by Premier Inn hotels are scheduled to open in central London during the financial year 2018/19 at Berwick Street, Soho and at Bank in the City.