has bought a 拢106m (鈧�124m) hotel development site in East London on behalf of its long-income real estate fund.
The 拢2.7bn Lime Property Fund has acquired the site in the Docklands, which will be developed by into a 30-storey 400-bed Premier Inn hotel.
Whitbread, Premier Inn鈥檚 parent company, will take a 35-year lease on the hotel and restaurant.
The site, which will be developed by Rockwell, is expected to be completed early 2022.
Kris McPhail, fund manager, Aviva Investors, said: 鈥淲e are pleased to participate in this scheme with Rockwell and play a part in rejuvenating the site.
鈥淭he transaction provides our investors with an attractive 35-year inflation-linked income stream from a market-leading UK corporate, underpinned by strong real estate with excellent transport links. These are exactly the type of investments we target for the Lime Property Fund.鈥�
The fund targets property investments that provide inflation-linked or fixed-rental uplifts let to strong tenants on leases of at least 15 years, cross-sector, UK-wide.
Donal Mulryan, founder of Rockwell, said: 鈥淲e are delighted to complete the 拢106m transaction with Aviva Investors, for the exceptional hotel-led scheme positioned in a prime location adjacent to Westferry DLR station.
鈥淭his notable acquisition further demonstrates our proven track-record and supports our ambitious plans for the London hotel sector with the creation of more than 2,500 hotel rooms.鈥�
