Starboard and LaSalle acquire seven UK Accor

Starboard Hotels has acquired seven Accor-branded hotels across the UK in a joint venture with LaSalle Investment Management. The undisclosed sum purchase from Ares Real Estate Funds and EQ Group adds 913 bedrooms to Starboard's portfolio.

The hotels will continue operating under their existing Accor franchise agreements. Starboard will manage them. This transaction increases the number of Accor hotels managed by Starboard to 15 and brings its total UK estate to 28 properties with over 3,000 rooms.

Portfolio Details and Locations

The acquired portfolio consists of budget Ibis and mid-scale Novotel brands in key transport and city centre locations.

The purchase significantly expands Starboard's geographic footprint. Ibis London Barking becomes its third London property. The Ibis Luton Airport acquisition gives Starboard three hotels serving major UK airports.

In Birmingham, the two new hotels bring Starboard's presence in the city to four properties. Novotel Sheffield Centre becomes Starboard's second owned and operated hotel in Sheffield. The two Southampton hotels mark Starboard's first entry into the port city.

Strategic Significance for the Buyers

This deal represents Starboard Hotels' first private equity joint venture transaction. It also coincides with the company's 20th year of operation. For LaSalle Investment Management, the acquisition aligns with its value-add investment strategy in the UK hospitality sector.

Frazer Callingham, managing director of Starboard Hotels, expressed excitement about the partnership. "We expect the portfolio to bring operational efficiencies across our estate," he said. Callingham noted it was exciting to enter new cities and work with brands that have growth potential.

Leif Skogland, vice president of value-add investments for Europe at LaSalle, highlighted future opportunities. "We believe further opportunities will arise across the UK for us to expand our joint venture with Starboard," Skogland stated. The firm sees great potential in the newly acquired portfolio.

Transaction Background

The sellers, Ares Real Estate Funds and EQ Group, were represented by agents JLL and Christie and Co. This sale completes EQ Group's exit from the 18-asset UK portfolio it originally acquired with Ares in 2024. The hotels will continue their current operations under the Accor brands as part of Starboard's expanding managed estate.