Radisson Sale Shows London Hotel Demand Stays Strong

The Radisson Blu Hotel, London Leicester Square has been sold, with CBRE announcing the deal on April 1, 2026.

The buyer is CLI Dartriver and the seller is a controlled affiliate of Starwood Capital Group. CBRE did not disclose the price, but CoStar estimated it at about £120 million ($159 million).

With 127 rooms, that works out to nearly £995,000 ($1.32 million) per room, showing how highly investors still value prime hotels in central London.

Rare West End freehold draws CLI Dartriver into hotels

This appears to be CLI Dartriver’s first hotel acquisition. The firm was created in 2020 by Dartriver London, Conren Land, and Indigo Invest to invest private capital in London real estate.

CBRE said the buyer was attracted by the chance to own a prime freehold hotel in a central London location with long-term appeal. Freehold hotels in the West End are rare, and that scarcity helps support values.

Investors are not just buying a trading hotel, but also a hard-to-replace asset in one of Europe’s strongest tourism markets.

Part of Starwood’s wider Radisson Blu Edwardian portfolio deal

The Leicester Square hotel was part of the 10-hotel Radisson Blu Edwardian portfolio that Starwood Capital bought from Edwardian Group in January 2024.

That portfolio included 2,053 rooms. Edwardian kept The Londoner, as well as The May Fair and The Edwardian Manchester under the Radisson Collection brand.

London’s tourism outlook is supporting investor interest

The broader tourism picture also helps explain the deal.

VisitBritain expects the UK to receive 45.5 million inbound visits in 2026, with spending reaching £35.7 billion ($47.2 billion). That would be up 4 percent in visits and 7 percent in spending from 2025.

London remains the country’s main gateway for international visitors, so strong tourism forecasts help support investor appetite for central London hotels.

London hotel deals keep pointing to strong demand for prime assets

A similar pattern was visible in London’s hotel market last year, when The Hoxton Southwark was sold for £150 million ($200 million). That deal, like the Radisson Blu Leicester Square sale, pointed to continued investor demand for well-located London hotels, especially when the asset sits in a prime central district with long-term tourism appeal.

Photo by Joshi Milestoner on Unsplash