The City of Edinburgh Council has agreed a 25-year lease with M&G Real Estate and its property development partner, Qmile Group, for a 349-bed Hyatt Centric hotel at Haymarket Edinburgh.
The seven-storey hotel will be the first Hyatt Centric, the chain's range of modern boutique city-based hotels, in Scotland and will be managed and operated by the Edinburgh International Conference Centre under a franchise agreement with Hyatt Hotels Corporation. With construction due to start imminently, the hotel is expected to create around 200 jobs and is scheduled to open in 2025.
The 200,000-square-foot building will also be home to a hotel school and training academy, which will create training and employment opportunities for workers.
The deal follows the 100% preletting of 390,000 square feet of offices to a range of tenants, as revealed by CoStar News.
Aaron Pope, director, asset management at M&G Real Estate, said in a statement: “The Haymarket area of Edinburgh provided us with an opportunity to work with Qmile to transform this area of the city into a high-quality destination for those who visit, live and work in Edinburgh.
“To have fully prelet the hotel and office space at this relatively early stage demonstrates not only the attractiveness of the development, but also the strength of the Edinburgh real estate market, which continues to draw office occupiers and tourists from around the world.”
Paul Curran, chief executive of Edinburgh-based Qmile Group, added: “Scotland’s first Hyatt Centric will be an excellent addition to Edinburgh’s world-famous hotel, leisure, and tourism sector, adding capacity and additional hospitality, conference and bar facilities.”
EICC chief executive Marshall Dallas said: “The Haymarket Edinburgh development is central to the EICC’s future as Scotland's leading conference venue, and aligns with our mission to create an environment which inspires ideas that change the world."