(Bloomberg) -- A new luxury hotel near London’s Bond Street station is going up for sale after attempts to refinance the project so far have been unsuccessful. Jones Lang LaSalle Inc. has been appointed to market the five-star BoTree hotel on Marylebone Lane, people with knowledge of the plan said.
The 199-room property, built on the site of a former car park, was developed by Shiva Hotels Group and cost £375 million ($487 million) to build, the people said, asking not to be identified as the process is private. Shiva has since re-branded to Place III Hotels. Place III has been attempting to refinance the hotel since it opened in September 2023.
It has about £275 million of debt secured against it, with a senior loan from Cale Street Partners and a junior facility from Crosstree Real Estate Partners, the people added. There is no formal guide price for the sale, but those involved in the consensual process are targeting a price above the outstanding value of the debt. A representative for JLL confirmed the broker’s appointment to sell the property but declined to comment further.
A spokesperson for Place III said refinancing efforts were continuing concurrently with the sales process; a spokesperson for Crosstree declined to comment; a representative for Cale Street did not respond to calls and emails seeking comment. Shiva originally bought the site for about £100 million in 2016. The business, founded by former Lehman Brothers derivatives trader Rishi Sachdev, was af.
