The Virgin Hotel site in Glasgow has been sold to Martin Property Group, a Northern Irish family-run business, by the Administrators of Lloyds Development.
Administrators Geoff Jacobs and Richard Heis from Interpath said in a statement, that “following an extensive marketing process (supported by Savills)”, they have completed a sale of the hotel located on Clyde Street “to a Martin Property Group entity.”
Geoff Jacobs, managing director at Interpath and joint administrator of Lloyds Developments Limited, said, “The hotel occupies a prime position on the Glasgow riverfront. We look forward to seeing the hotel back in operation and wish the purchaser every success in the future.”
The 17-storey hotel, which overlooks the River Clyde, has 240 guest bedrooms (165 of which are completed), in addition to a ground floor restaurant and bar, mezzanine bar and lounge, terrace area, and conference and meeting facilities. It opened in August 2023 before the building owners, Lloyds Development fell into administration in December that same year.
At the time James Bermingham, CEO of Virgin Hotels, who had tried to purchase the property, said, “Lloyds Developments Limited – the owner of Virgin Hotels Glasgow, which Virgin Hotels has a management contract with – has financial problems and on 1 December its lenders put it into administration.
“As a result, the directors of V Hotel Glasgow Ltd, the employer and operating company in respect of the hotel, are being advised by FRP Advisory LLP as they place that company into liquidation. These financial issues mean that the hotel cannot continue operating and now has to close.
“Virgin Group tried to find solutions, including offering to purchase the hotel, to keep the hotel open, keep the team in employment and ensure the completion of the development of the hotel, creating something the City of Glasgow could be proud of. Unfortunately, the lenders have not accepted Virgin’s offers and intend to pursue a sales process with the hotel closed.”
Martin Property Group has a broad portfolio of commercial and residential properties in the UK and Northern Ireland including shopping centres and offices as well as Leonardo hotel in Chester and the property at 151 West George Street in Glasgow where Wetherspoons and Blue Dog are also located.
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