The hotel, located close to Newcastle Quayside, is the second Staybridge Suites hotel to be developed in the UK under the InterContinental Hotels Group.
It is owned via a 999 year lease from 2003 at nil annual rent and benefits from a 20-year management agreement with IHG. The purpose-built property offers a mix of studio and one-bedroom suites with fully-fitted kitchens, arranged over seven floors across two wings.
Richard Candey, head of hospitality at DTZ, which has been instructed to sell the hotel, said: “The Staybridge Suites Hotel in Newcastle represents a strategic opportunity to acquire a fast developing new brand supported by one of the world’s best hotel management companies.
“The extended stay concept is gaining popularity with customers in the UK. Staybridge Suites Newcastle achieved 78 per cent occupancy in 2011 in only its second full year’s trading, testament to a popular brand concept and a resilient local market. We anticipate strong interest from a wide range of hotel investors.”
A further six projects under the Staybridge Suites concept are said to be in the pipeline.