Date: September 2018
Location: UK and Ireland
Who: Aparthotel brand Native has announced a £400 million partnership with developer First Base to create aparthotels across the UK.
The joint venture will identify aparthotel or mixed-use sites primarily in London, Oxford, Cambridge, Bristol and Edinburgh with the aim to commit £200 million in 2018 and an additional £200 million in 2019.
First Base will lead on design, planning and construction, with other target cities including Brighton, Reading, Manchester, York and Dublin.
Archie Hunter, development director at Native, said: “This partnership clearly demonstrates our commitment to standout aparthotel developments across the UK, at a time when the sector is set for significant expansion. Our expansion will enable us to take our unique proposition to a greater range of key UK cities, addressing a significant gap in the market.”
According to JLL’s Serviced Apartment report, aparthotels are the fastest growing area of the hospitality sector, with supply increasing 13% in the past two years.
Barry Jessup, director at First Base, added: “Demand far outstrips supply for aparthotels in these locations, and we see homestay living playing an important role in the revitalisation of town centres. We will begin work on these developments as soon as we have secured the sites and planning consent, such is the demand.”
First Base is more of a conventional residential developer, with projects such as Bridge Close, a 50:50 Joint Venture with London Borough of Havering to deliver a new quarter in Romford Town Centre which will include commercial and cultural uses alongside 1,000 homes.
Edward Street Quarter, Brighton, where First Base is delivering a 320,000 sq ft mixed use development split between new offices and new homes.
East Village, Stratford, where First Base is a partner in Triathlon Homes LLP, which own and manages 1379 homes at the former Athlete’s Village.
Anston House, Brighton, where First Base is bringing a long-term derelict site back into use as 230 homes and flexible workspace.
First Base was founded in 2002 and is based in Central London.
Native operates 1,500 units in 16 locations across London and is targeting more than 2,500 units by the end of 2019.
THPT Comment: Guy Nixon, CEO of Native has made serious strides in the sector since he was one of the early adopters, starting his business in 1998. Not bad for an investment banker!
First Seen: TravelGBI