Dalata Hotel Group said today it was expanding its presence in Scotland with the acquisition of a development site at St Andrew's Square in Edinburgh.
The hotel group, which owns the Maldron and Clayton brands, said it had also completed the deal to buy the leasehold interest in Hard Rock Hotel Amsterdam American in the Netherlands.
That deal was first announced on September 21.
Dalata said the Edinburgh site was bought for £12.5m from Aviva Life & Pensions UK Limited and was paid for from its existing cash and banking facilities.
The overall investment in the Edinburgh project, including the site purchase, will be about £48m and the new hotel will employ about 60 people when it is operational, the company added.
The site includes a Category A listed building which is currently vacant and approved for office use, with planning permission granted for an extension to both the rooftop and rear of the property.
Dalata said it plans to submit a revised planning application in the first quarter of next year, enabling the construction of a new 4-star Clayton Hotel, which is expected to be complete by the middle of 2026.
Subject to a successful revised planning application the hotel will incorporate 153 bedrooms, a bar, restaurant, dry gym and two large meeting rooms.
On its Amsterdam deal, Dalata said it has now acquired the entire issued share capital of American Hotel Exploitatie, which holds the operating leasehold, for a total of €29.5m from Zien Group.
The 4-star hotel, which is owned by Deka Immobilien, is centrally located in Amsterdam and consists of 173 bedrooms, ground floor lobby, a café and bar.
The hotel is being rebranded to Clayton Hotel Amsterdam American and Dalata will invest about €4.5m to enhance the property over the coming years.
Dermot Crowley, CEO of Dalata Hotel Group, said that today was an important day for the company.
He said that Edinburgh has long been a target city for the company to locate its brands - and the new hotel will be its third in Scotland.
"We are also delighted to have secured our first Clayton hotel in Amsterdam. The American Hotel has a
renowned reputation in the city and we will continue to protect and enhance that with our Clayton brand," he said.
"In the year to date, we have announced four new opportunities in three of the strongest city hotel markets in Europe - London, Amsterdam and Edinburgh. We will continue to seek out further opportunities in our target markets," the CEO added.
