LONDON — Bass PLC has purchased theportfolio of London-based Posthouse Hotels from Compass Group PLC for approximately $1.1 billion. The portfolio includes 79 mid-scale hotels with 12,300 rooms. All except one of the hotels are located in the United Kingdom, and a new hotel is slated to open in Oxford later this year.
Bass PLC, London, plans to spend approximately $100 million to upgrade the hotels under theHoliday Inn brand through Bass Hotels & Resorts, its lodging division. The acquisition is part of an effort to establish Holiday Inn as one of the leading brands in the U.K. market.
Bass plan to sell about 15 of the properties, either because they are not suitable for renovation or because they are close to existing Holiday Inn properties.