Property Week report on a deal by Raag Hotels 31.10.13

GSC Solicitors advises Raag Hotels on property finance aspects of Wellcome Trust investment.

Peter Belcher, head of property finance, led the GSC team which managed the construction, franchise and property refinancing elements of the deal for Raag Hotels. Property Week reports: “The Wellcome Trust has acquired a 50% stake in Raag Hotels, which operates Tune Hotels in central London, and plans to more than double its presence in the capital….the shareholders have now committed additional equity to fund the future roll out of more Tune Hotels in London, taking the portfolio from the current 616 rooms to a target of 1,500 rooms…Bank finance for the development of the Raag Hotels business has been provided by HSBC and The Royal Bank of Scotland.

Following the deal Raag Hotels has acquired a new site in Canary Wharf which has planning consent for the development of a 130 room hotel.  The Tune Hotel Canary Wharf is expected to open in early 2015.

Raag Hotels was set up in 2010 …and

[is] managed by the Jivraj family’s Queensway Hotels.”