Topland sells Hallmark Hotels to Israeli investment fund for circa £250M

28 February 2019

Real estate firm Topland Group, which owned the Hallmark Hotels chain and holds a number of other hotel investments, has sold the remaining 26 hotels forming the Hallmark Portfolio, to an Israeli investment fund for reportedly circa £250M.

Topland’s first purchase of operational hotels began with the Menzies portfolio in 2013, comprising 1,219 rooms across 12 hotels and head office, with KPMG acting as administrators, in a deal brokered by Christie & Co.

This was followed by the purchase of the Hallmark Hotels in August 2014, a total of 730 rooms across 8 hotels plus head office, in an off market transaction with KPMG acting on behalf of the vendors.

Feathers Hotel group was then acquired in January of 2015, in yet another off market transaction, a further 726 rooms from 8 hotels and a head office, with Deloitte acting on behalf of the vendors, taking Topland’s portfolio to 38 hotels, of which 29 were owned and managed.

During the course of Topland’s ownership the three head offices merged and all of the hotels were rebranded under the Hallmark Hotel and Hallmark Inn brands, with Topland forming it’s own management team, which is understood to be included in the sale. Looking back to reported media at time of the various acquisitions, the total acquisition cost was reported to be in the region of £200M, marking the first portfolio sale of 2019.