The South West hospitality industry remains buoyant and is showing few signs of anxiety following the EU referendum, according to sector specialists in the Bristol office of Colliers International.
Hotels directors Simon Wells and Peter Brunt have agreed seven sales totalling £8 million since the referendum in June, and predict that the market will remain robust.
Mr Wells, who recently sold the Aquae Sulis Hotel in Bath, said: “These post-Brexit agreements of deals point to a vibrant and resilient hospitality market in the South West, and show it is regarded by domestic and international buyers as an attractive destination for investment following the referendum vote.”
Mr Brunt, who specialises in the Cotswolds and Wales, commented: “The hotels sector in the South West was robust before the vote and this has continued to be the case, as demonstrated by the fact that not only are pre-agreed sales like Aquae Sulis in Bath and The Elan Valley hotel in mid Wales completing but new sales are being agreed too.
“Never in my 20 years in the market can I recall such a busy start to the month of August – often a quiet month, as our clients get down to the serious business of servicing their busiest time of year while buyers go off on their summer holidays.
“The flow of new instructions has continued, neither speeding up nor slowing down with offers and viewings continuing to come in fast and furious. I see no sign of any choppy waters for the region’s hotel market, in fact, if anything we may even see more activity as overseas visitors and investors are attracted to the region by favourable exchange rates.
“Tourist areas such as the Cotswolds, Ludlow, Bath, Dorset, Devon and Cornwall could benefit from an increase in overseas visitors now the pound is more affordable for international tourists. In addition, UK tourists may choose to stay at home; worried about the escalating costs of overseas travel, which could further boost domestic trade.”
Mr Brunt added that one potential consequence of post-Brexit uncertainty could be an increase in the number of ‘off-market’ deals, where publicity is kept to a minimum, which were already happening before the referendum – as in the case of the George Hotel Cheltenham, which was sold off-market in January by Colliers.
He concluded: “We always have some off market opportunities that are not on our website, which is why we advise prospective purchasers to make contact with us to discuss their requirements.”
