UK: Lender Blackfinch Property has completed a £5.6 million bridging loan to fund the development of the latest Ruby hotel in Edinburgh.
Lean luxury hotel brand Ruby Hotels has recently been granted permission for a hotel development in Edinburgh. The £100 million project, in partnership with real estate investment and management company Hunter REIM, is located at 104-108 Princes Street.
The scheme will see the transformation of three mixed-use retail and office buildings into a 347-room hotel. It will be constructed using sustainable materials and building practices with a net zero carbon target.
The bridging loan supplied by Blackfinch will be used to acquire the third adjacent property.
Nicola Mayes, investment manager at Blackfinch Property, said: “We are pleased to be funding this exciting project which will bring several vacant buildings back into use. The borrower’s plans for this project closely align with our own ESG principles of developing energy efficient property and improving the quality of existing buildings. We are also pleased to have been able to forge a new relationship with this borrower, and being able to contribute towards this project which has helped to develop and broaden our in-house legal expertise, and boost our presence in Scotland.”
Marking the first hotel for Ruby in Scotland, it is expected to open in 2026.
Julian Mors, group director development at Ruby Hotels, said: “The hotel market in Edinburgh has proven to be very robust in the past, shows sustainable growth and offers a lot of potential for our concept, especially in the affordable luxury segment. We are very excited to enter the Scottish market with this great project.”