ETAP Hotel Derby • Junction A38 / A50, Etwall Road, ETAP Hotel Leicester North Services • Junction A6 , Derby , DE65 6DX

An excellent opportunity to acquire two freehold hotel investments located in the key Midlands cities of Derby and Leicester. The hotels make up part of larger dedicated service station areas with adjacent tenants including a Shell petrol filling station, Le Petit Four and KFC. Both hotels let to Accor UK Economy Hotels Limited, guaranteed by Accor SA, with approximately 12 years unexpired. The hotels were purpose built to the specification of Etap in 2008 and provide a combined total of 154 bedrooms. Current total combined base rent income of 347,000 per annum reflecting a low average bedroom rate of 2,253. Both hotels are trading above expectations with average room and occupancy rates (RevPAR) being in line with the Etap hotels in the major centres of Manchester,Sheffield, Leeds and Birmingham. Opportunities to add value via restructuring the leases with Accor. We are instructed to seek offers in excess of 4,100,000 (Four Million One Hundred Thousand Pounds), subject to contract and exclusive of VAT, for the freeholdinterest in both sites. A purchase at this level will reflect a net initial yield of 8% after allowing for purchasers costs of 5.8%. The quoting price reflects an overall capital value of 26,600 per bedroom.

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