Administrators secure extra year to oversee sale of Peterborough's Hilton Garden Inn

Administrators have secured an extra year to oversee the sale of Peterborough’s partly-built Hilton Garden Inn.

The High Court in Northern Ireland has given the administrator Teneo Financial Advisory a further 12 months to complete the disposal of the unfinished £30 million hotel at Fletton Quays.

According to documents submitted to the High Court, the administrator has been given until October 17 next year to finish its work.

The hotel developer, Fletton Quays Hotel, of Waring Street, Belfast, was taken into administration by Peterborough City Council in October 2023 after eight months in which, according to Teneo, no construction work had taken place.

The council is the primary secured creditor having provided a £15 million loan to the developer in 2017 to build the hotel. With interest, the council’s loan stands at £17 million.

The local authority announced last month that it had found a prospective buyer for the 161-bedroom hotel.

It is in talks with the potential buyer, which has committed to building a hotel at the site.

A council spokesperson said: “The administration period has been extended as the administration process is not yet complete.

“This does not affect the disposal of the asset that has been agreed by Cabinet.

“We cannot provide information about the buyer whilst legal processes are ongoing.”

A spokesperson for Teneo said it would not comment.

However, a strategy report published in May this year stated: “Teneo intends to request an extension to the period of the administration for a period of 12 months from October 17, 2024 to allow sufficient time for a sale of the hotel to be completed."