Member Article

New £2m funding deal to support hotel refurbishment and expansion for hospitality operator

STR Enterprises Ltd, the company which runs three well-regarded North East hotels as well as the Centurion Bar at Central Station, is to embark on a refurbishment drive across its portfolio after securing a new funding deal with HSBC.

The Newcastle-based company has agreed a £2m facility with the bank to begin refurbishing its Manor House and The Honest Lawyer Hotels in County Durham, following wholesale renovations at its Victoria Hotel in Bamburgh which saw the addition of a new rooms and a restaurant.

STR has also said that the funding facility will be channeled into a wider growth strategy which will see the addition of more rooms across its portfolio of venues.

John Sanderson, Managing Director of STR Enterprises Ltd, commented: “To best serve our customers we need to provide them with top class services. We set out an ambitious programme of refurbishments that would not only upgrade a number of key sites but also help to grow our business.

“HSBC understood our intentions from the beginning and facilitated a package that helps to meet our business needs.”

The funding itself has been derived from HSBC’s £10bn SME lending fund, of which £300m has been set aside for North East businesses.

Tony Leech, who is Area Director for HSBC in the North East, said: “We were more than happy to support STR Enterprises’ ambition to contribute to a thriving tourist economy in the North East. With solid knowledge of the sector, the STR team has demonstrated a clear strategy for growth that will positively contribute to the region’s booming hospitality sector.”

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