Park Plaza Hotels has bought Frogmore and Galliard Homes out of the 1,000-bedroom Westminster Bridge apart-hotel.

The 4-star hotel chain has bought the other two-thirds of Marlbray, the company developing the hotel for a combination of cash and shares.

It has paid £10.27m and issued 735,000 shares in order to take 100% control of the Thames-side development at County Hall.

Strong pre-selling

Park Plaza Hotels CEO Boris Ivesha said the company was confident in the apart-hotel because of strong pre-selling activity.

‘This development in the centre of London remains on track to open in 2010 and is expected to add an additional 1,037 rooms to our portfolio,’ he said. ‘The sale of the apartments during the development phase has already attracted significant interest from investors and we are extremely pleased with the number of pre-sales achieved to date.’

So far 820 of the 1,037 apartments have been pre-sold for a total sum of £234m on completion of the hotel.

Nine months ago £221m funding was secured from Israel’s Bank Hapaolim for the development. The facility will be repaid through the pre-sold apartments.