LaSalle Investment Management has acquired the Ruby Stella hotel in Clerkenwell, London, from RE Capital on behalf of a UK custom account client for £48m.
The newly developed, purpose-built hotel, which opened in late 2024, comprises 153 en-suite bedrooms and ground floor shared space that includes a restaurant, bar and courtyard terrace.
The asset has achieved BREEAM Excellent and an EPC A rating and is operated by Ruby Hotels on a 30-year index-linked lease.
Sophie Simmonds, managing director, UK custom accounts at LaSalle, said: “Ruby Stella represented a compelling opportunity to secure another long-income, index-linked asset built to impeccable sustainability standards in a prime central London location. This latest hotel acquisition in the UK’s capital city further strengthens our exposure to the resilient and evolving lifestyle hotel sector whilst being underpinned by a strong residual value.”
Chris House, senior transactions manager at LaSalle, added: “With London attracting 20 million visitors in 2024, the Ruby Stella is perfectly situated in a vibrant and accessible location, well-positioned to capture both business and leisure demand. As well as allowing us to tap into this dynamic market, the acquisition of the Ruby Stella supports our broader strategy of enhancing portfolio quality through investments in modern, well-located assets with strong fundamentals.”
Luke Dhanoa, head of UK asset management at RE Capital UK, said: “We are proud to have delivered the Ruby Stella hotel, a thoughtfully designed, highly sustainable asset that reflects our values of quality, integrity, and long-term vision. Working with Ruby Hotels has been a pleasure, and we’re confident the project will continue to flourish under its new ownership. Our thanks also go to Savills for their valuable advisory role in this transaction.”
Richard Dawes, director in the hotel capital markets team at Savills, added: “We are delighted to have acted for RE Capital on the sale of the Ruby Stella for £48m. The property’s long-term lease to an institutionally trusted operator made it an attractive proposition for investors. The Ruby Stella is exceptionally positioned to offer robust returns backed by its location, outstanding sustainability credentials and ‘lean luxury’ offering. Congratulations to LaSalle on their acquisition.”
Katten Muchin Rosenman advised the vendor and Constantine RE and Gowling advised the buyer.
