Landmark Edinburgh Caledonian hotel sold for £85m

The Caledonian Waldorf Astoria Hotel in the capital's West End has been sold again

A landmark Edinburgh hotel which has hosted the late Queen, a former US president and a number of Hollywood stars has been sold.

The Caledonian Waldorf Astoria Hotel has been acquired by a property investment manager and hotel operator in a deal said to be worth £85m.

The 120-year-old hotel is located on Princes Street below Edinburgh Castle.

It has been purchased from Twenty14 Holdings by Henderson Park and Klarent Hospitality.

The Caledonian was constructed from 1899 to 1903 and was originally owned by the Caledonian Railway company.

A five star, 241-room hotel, it has been visited by famous names such as Charlie Chaplin, Elizabeth Taylor and Barack Obama.

In 2016 Arnold Schwarzenegger was staying at the hotel when he was spotted cycling on the wrong side of the road.

Rare opportunity

It is the third Edinburgh hotel in the Hilton portfolio owned by Henderson Park and Klarent hospitality.

The group previously purchased The Carlton on North Bridge and the DoubleTree Edinburgh Airport as part of a larger deal in November 2021, where they acquired a total of 12 hotels.

Twenty14 Holdings bought it from Hilton in 2018, in a deal also said to have been also been worth £85m and Hilton remained the operator following the deal.

Henderson Park and Klarent Hospitality said they have identified a number of opportunities to invest in the hotel, including room renovations as well as upgrading and restoring public areas and facilities.

Nick Weber, CEO and founder of Henderson Park, said: "This transaction presents us with a rare opportunity to acquire an iconic hotel with an incredible 120 year heritage that is part of the very fabric of Edinburgh society.

"As custodians of this landmark property, we have a number of planned investments that will improve the guest and visitor experience and ensure the Caley retains its status as one of Edinburgh's most emblematic hotels going forward."