A town centre hotel has been acquired by Basingstoke & Deane Borough Council as an investment.
The council says the acquisition of the 81-room Premier Inn in Victoria Street on a long lease offers a good return for the authority. The hotel, which opened in 2015, has one of the brand’s latest corporate fit-outs.
Deputy leader and cabinet member for finance and property Cllr John Izett said: “The purchase of this modern Premier Inn adds a high quality investment in the town which will provide a good return to pay for the important services we provide the borough’s residents.
“The hotel is let on a long lease and will bring in over £400,000 annually in revenue for the council.
“We believe in investing in local property to support jobs and this hotel contributes to local tourism and the strong business economy.
“Unlike many other councils who have borrowed to invest in property this council uses its own capital reserves. The income from property rents is more than double the income from council tax and is key to maintaining services whilst keeping council tax low.”
The council’s property investment strategy is on course to produce £2.43 million in 2022/23 from investments of £32.49m in the local economy.
Image: Google.
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