The hotel comprises 91 rooms, a restaurant and bar, meeting and event facilities, as well as other amenities. Already operated by the purchaser, S Hotels & Resorts now has the flexibility to undertake a significant refurbishment of the property.

Steven Fyfe, director in the hotel capital market teams at Savills Scotland, commented: “The Scottish hotel market has already seen a threefold increase in investment volumes so far in 2023, with transactions totalling £165 million. This latest acquisition is proof that the sector remains resilient despite a decline in activity elsewhere in the UK.

“The purchase of the Mercure Glasgow provided a fantastic opportunity for S Hotels & Resorts to take ownership of the site and subsequently take advantage of Scotland’s booming tourism.”