Council approves new company for hotel purchase

Hilton Hotel could be ready by next summer, the leader of Peterborough City Council has said

A city centre hotel that has been under construction for the past seven years could be open by next summer, the leader of a city council has said.

On Tuesday, Peterborough City Council approved a move to establish a new company to purchase and complete the nine-storey Hilton Garden Inn hotel in Fletton Quays.

In 2017 the authority took out a £15m loan from the government to lend to a developer to build the hotel, but work stopped in 2020 when the company went into administration. The loan now has an outstanding balance of £17m including interest.

Dennis Jones, a Labour councillor and leader of the authority, said the council was “looking for developers for the hotel”.

'Wider regeneration'

Cecilie Booth, the executive director for corporate services at the council, said previously that safeguarding the authority's existing investment in the hotel was an “overriding priority”.

At Tuesday’s meeting, Ms Booth said her team was working on the next stages for the hotel and full costs to complete it were being finalised.

The cabinet members also approved the recommendation requesting the submission of a business case after the soft-market testing exercise had concluded.

The Hilton Hotel is part of a wider regeneration of the Fletton Quays area.

Mr Jones told BBC Radio Cambridgeshire on Wednesday that he hoped the works to complete the hotel could start before winter and it could be operational by next summer.