- Founded in 2004, Capilon Hotels Group (“Capilon”) is a property development and management business focussing on central London hotels;
- To date, the group has operated and developed 11 hotels across London, including The Blandford Hotel in Marylebone and The Judd Hotel in Bloomsbury;
- The £13m co-loan will be used to refinance existing debt and complete the full renovation of the six-story, Edwin Hotel in Earls Court, which is due to open this month;
- London’s hotel market continues to demonstrate resilience and strong performance, with record average daily rates and a high occupancy rate achieved in 2024[1].
OakNorth, the leading digital bank for entrepreneurs, by entrepreneurs, and real estate funding specialist, ASK Partners (“ASK”) have provided a £13m co-loan to returning customer and independent hotel management business, Capilon Hotels Group.
Capilon specialises in property investment, development and management of various sectors and asset classes, with a particular focus on central London hotels. Since launch, the group has evolved from initially acquiring townhouse hotels throughout key areas of London including Bloomsbury, Kensington, Paddington and Victoria, to now having operated and developed 11 hotels across London, such as The Blandford Hotel in Marylebone and The Judd Hotel in Bloomsbury. As well as investing its own capital, Capilon has a strong history of joint venture partnerships with everything from private equity to investment funds right through to high net worths and private individuals.
The £13m co-loan from OakNorth and ASK will be used to finance existing debt and complete the full renovation of the six-story, Edwin Hotel in Earls Court, which is due to open later this month. Formerly the Mayflower Hotel and located along Trebovir Road, the site is easily accessible and very centrally located with only a two-minute walk from Earls Court station, as well as many of London’s main tourist attractions. The renovations will see the hotel offer a larger reception area, as well as the number of rooms increase from 47 to 60, following the reconfiguration of former large three-bed and four-bed rooms into double bedrooms.
Capilon, commented: “For over 20 years now, our small but dedicated team has continued to deliver hotels that have all the things that you need, and none of the things you don’t, in order to offer the best value for money for our customers. The Edwin represents another opportunity to apply this proven model of acquiring, repositioning, and operating prime hotels in central London. Returning to OakNorth and ASK for funding was an easy decision to make given the strength of our existing relationship with them. Both continue to be trusted, supportive and strategic partners, and this facility will enable us to complete this project to the high standards our guests and investors expect.”
Lucas Anglin, Director of Debt Finance at OakNorth, added: “We’re delighted to once again support Capilon with this latest facility. Its strong track record of value-add developments in central London, combined with their operational expertise and the strong performance of the capital’s hotel market gives us great confidence in the success of The Edwin. We’re delighted to have been able to support such a well-renowned and established hotel firm and we look forward to watching their growth story going forward.”
Mike Ginsberg, Investment Analyst at ASK, said: “The hotel sector has seen very robust performance figures and creative business models have been fuelling the sector’s post-pandemic bounce back. Capilon has proven its success in repositioning and operating prime hotels and delivering in line with current guests’ demands. We were very happy to back this project and work with the team again.”
ENDS
Notes to editors
[1] Knight Frank – UK Hotel Trading Performance Review and outlook for 2025
About OakNorth
Launched in September 2015 and founded by entrepreneurs, OakNorth is a digital bank focused on serving and empowering the lower mid-market (businesses with £1m-£100m in turnover), that are seeking to scale but are routinely underserved or overlooked by traditional banks.
To date, it has provided c.£12.5bn to these businesses across a wide range of sectors, achieving performance metrics that place it amongst the top 1% of commercial banks globally. Its loans have directly contributed to the creation of 56,000 jobs, and over 34,000 new homes across the UK and the US – the majority of which are affordable and social housing.
It is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
Visit www.oaknorth.co.uk for more information.
For press inquiries, please email: [email protected]
About ASK
For more information, please contact:
Greentarget
+44 20 3963 1889
Jamie Brownlee / Ben Finnis / Gabriela Sarosiek / Tawana Chamanza
About ASK Partners
ASK is a specialist, independent property lender, established by an experienced team of three partners in 2016 to provide bespoke and flexible real estate finance solutions. Building a team to complement their own unique blend of skills, they have now lent in excess of £1.7bn across over 110 transactions. Every transaction is underwritten by ASK and the company has earned a reputation as a trustworthy partner. https://www.askpartners.co.uk/
[1] Knight Frank – UK Hotel Trading Performance Review and outlook for 2025