MUI Group has secured a £152.2 million refinancing loan from ESR Europe for the Corus Hyde Park Hotel in London.
ESR Europe, the European platfoirm of real estate investment manager ESR Group has provided the funding to allow MUI refinance existing loans and finance the transformation of the 388-room offering, located on the north side of Hyde Park, into an upper-scale international hotel brand.
The loan is structured into four tranches and includes £87.3 million for refinancing, £38 million for redevelopment from July 2024 to October 2025, £4.5 million for contingency, and £22.7 million for working capital.
What they said
George Cotterell, managing director, debt investments at ESR Europe said: “The current market continues to provide attractive investment opportunities, especially for refinancings as traditional lenders look to exit legacy positions. This transaction demonstrates our commitment to supporting value-add sponsor business plans, secured against high-quality real estate with strong underlying fundamentals and we are excited to work with the Corus team on this important project.”
Paul House, co-head of debt investments at ESR Europe added: “We are delighted to support the MUI Group with this transaction, marking another milestone in our over ten-year track record of deploying our investors' capital into high-quality debt investment opportunities.”
David Yeadon of SPF Private Clients’ debt advisory team and introducer of the transaction added: “It has been a pleasure dealing with the highly professional team at ESR Europe to deliver a funding solution for our client the MUI Group, to facilitate this highly prestigious and exciting hotel development project.”