The W Edinburgh hotel has been sold by Nuveen Real Estate to Schroders Capital for an undisclosed sum. The sale comes 18 months after the 244-room hotel first opened in November as the brand’s debut property in Scotland.
Schroders Capital, the $99.3 billion (£73 billion) private markets arm of investment firm Schroders, has acquired the hotel under a longterm management agreement with Marriott International.
The W Edinburgh is part of the wider St James Quarter development, which includes a shopping centre and apartments. Nuveen has said the overall value of the development exceeds £1 billion.
The hotel spans three buildings, including the 12-storey ‘ribbon’ building that houses a Sushisamba restaurant, a recording studio, spa, meeting rooms and a panoramic roof terrace.
Accommodation also includes rooms in James Craig Walk, a listed terrace from 1775, and the newly built Quarter House.
James Macnamara, of Schroders Capital, said, “The addition of the W Edinburgh to our portfolio is hugely exciting, as we continue to identify top-tier hotel assets that can facilitate multiple ways to create value and offer significant long-term growth potential.
“Edinburgh is an attractive market for Schroders Capital and we look forward to working with the highly experienced and agile team at the hotel to ensure guest experience remains in line with the W brand quality and ethos.”
Ed Webb, Director of Development Management at Nuveen, added, “The completion of the sale of the W Edinburgh marks a considerable milestone for St James Quarter as the first transaction realises over a decade of planning and development to deliver a leading destination in the heart of Edinburgh and the completion of a vision shared by our investors.
“The hotel itself has become an iconic landmark within the city centre whilst also providing a best-in-class offering worthy of Edinburgh’s status as a global tourist destination.”
