Zedwell Hotels owner commits to expansion with £25m loan

The owner of Zedwell Hotels has secured a £25m investment facility to support the expansion of the brand into York, Manchester and Edinburgh.

The loan from Cynergy Bank will enable Criterion Capital to accelerate the growth of Zedwell Hotels across city-centre locations in the UK, with aims for 8,000 rooms in total by 2027.

There are currently three Zedwell properties in central London, with a development pipeline of 13 new sites.

Last month, Criterion Capital revealed it had received a £16m loan from Metro Bank to support the 123-room Zedwell Greenwich, which opened in October last year, as well as further plans for expansion.

Omar Aziz, director at Criterion Capital, said: “This £25m equity release is pivotal in accelerating the Zedwell brand’s UK-wide expansion. Working with Nishil Tanna and the Cynergy Bank team has been a pleasure. Thank you also to Vijay Parikh and the Harold Benjamin team for representing us. We are looking forward to turning prime sites in cities across the UK into vibrant and thriving hospitality assets.”

Nishil Tanna, relationship director at Cynergy Bank, added: “We are excited to partner with Criterion Capital on this transformative journey. Its vision for Zedwell aligns perfectly with our commitment to supporting growth and we look forward to seeing its continued success as it brings Zedwell to some of the UK’s most iconic locations.”

Criterion Capital is a real estate owner with a portfolio of 24 hotels, over 4,000 apartments and commercial holdings amounting to 30 buildings in prime London locations, including in Piccadilly Circus, Leicester Square and Knightsbridge Green Estates.