Peel Hotels plans to make a killing in the hotel property market if prices slide as a result of the global credit crunch, the operator said today.
The company last year cashed in on the high value of its property assets, selling its Avon Gorge hotel and associated land in August for £15.5m and the freehold of its Salem street site in Bradford for £2m in December.
Peel Hotels chairman Robert Peel said: “We are in an excellent position, with effectively no debt to take advantage of any weakness in the property market should that occur.”
Although total turnover decreased as a result of the sales by 4.8% year-on-year to £15.2m operating profit was up 10% at £2.2m in the full year.
Thanks to the disposals the company saw pre-tax profit soar to £9.6m compared with £1.6m a year ago.
By Chris Druce
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