Westfort Advisors are delighted to have supported the owners of the historic Burgh Island Hotel, led by Giles Fuch, in securing a successful multi-million pound refinancing and refurbishment package.

The Grade II listed, art deco hotel, which is set on a private tidal island off the coast of south Devon has gained notoriety since it was built in 1929, having inspired two Agatha Christie books and hosted numerous high-profile guests, including Winston Churchill.

The new financing package has underpinned a substantial capital expenditure programme, designed to preserve and enhance the hotel’s unique heritage and infrastructure.

Key improvements funded through this programme include:

• Enhancement and preservation of the hotel’s Art Deco antiques and décor, including restoration of its original architectural features;
• Installation of new water treatment works, reinforcing the property’s modern infrastructure;
• Construction of a new roof, safeguarding the hotel against the elements and ensuring structural integrity;
• Strengthening sea defences to prevent cliff erosion, ensuring long-term resilience for the tidal island property; and
• Investment in staff accommodation, with £3 million spent in 2023 to upgrade rooms on both the island and the mainland, underscoring a commitment to employee welfare and operational excellence.

This comprehensive investment not only improves guest experience and operational capacity but also reinforces the hotel’s commitment to preserving its iconic style and sustainability ethos.

Richard Herring, Co-Founder of Westfort Advisors, commented,

“It was a pleasure supporting Giles in securing funding for such a beautiful and unique property. As such, it’s generally less exposed to regional changes in hotel supply and demand and is a proven inflation hedge, having maintained strong seasonal occupancy and ADR growth – offsetting cost increases seen across the sector. The owners are well-capitalised and their focus on restoration and sustainability will promote long-term value growth”.

Deepak Drubhra, Co-Founder, Westfort Advisors, continued,

“procuring debt was not particularly straight-forward, given general market challenges in underwriting operational risk for owner-occupied hotels. Working alongside Metro Bank, though, we were able to deliver a full refinancing package, plus all immediate CapEx funding to support the hotel’s long-term business plan.”