New owners for Grand Central

Principal Hayley, the hotel group behind the Grand Central Hotel in Glasgow, and The George in Edinburgh and a further 21 city centre hotels, has sold out to Starwood Capital Group, a leading private
investment firm. Terms of the transaction were not disclosed. The Starwood Capital Group is not the same group as Starwood Hotels which currently owns the Turnberry Hotel in Ayrshire and the Sheraton Grand Hotel and Spa in Edinburgh. The Starwood Capital Group is behind the Louvre Hotel Group, and the Baccarat Hotel & Resorts brand and 1 Hotels.
Barry Sternlicht, Chairman and CEO of Starwood Capital Group, said: “This transaction marks
an exciting investment in the European hotels and conferences sector and provides a great
management platform for us to expand further in Europe. Principal Hayley’s assets include
historic and iconic properties strategically located in many key city centre locations.”
Tony Troy, CEO of Principal Hayley, said of the transaction, “We are pleased with the
opportunity to work with Starwood Capital, which has extensive experience in the hospitality
sector and a very strong track record. We look forward to the future development of the Group
as a platform for growth.”
Citigroup arranged and underwrote the senior debt facility to support Starwood’s acquisition.
Goldman Sachs acted as financial adviser to Principal Hayley Group and Lloyds Banking Group.