The PPHE Hotel Group has obtained planning permission and funding to redevelop a prime site in London's Waterloo into a 438-bedroom hotel.
The hotel company, which bought the site known as Hercules House 12 months ago, yesterday secured £80m from Banque Hapoalim in Luxembourg to fund the project.
Permission has been granted for 438 bedrooms, which, subject to further planning approval, may be extended to 490 bedrooms. Additional facilities will include a swimming pool, spa, restaurant and bar.
Hercules House is owned by PPHE's wholly-owned subsidiary, Hercules House Holding B.V. The £80m from Banque Hapoalim will be used to refinance the outstanding bank debts as a result of the acquisition last year.
It will also fund the demolition, clearance operations and other construction and infrastructure work for the development of the Hotel, expected to be completed in September 2016. Construction of the hotel began in April.