Heading: Potential Buyers Emerge for Village Hotels as Blackstone and Sixth Street Make Offers

Blackstone, the renowned private equity investor in real estate, has made a bold move in the auction of Village Hotels, the popular mid-market hotel chain. With a bid of £850m, Blackstone has joined the race to acquire the chain from its current owner, KSL Capital Partners.

According to sources, Sixth Street, another US-based investment firm, is also in the running for the acquisition of Village Hotels. This development comes after Aermont, the majority backer of Pinewood Studios, expressed interest in purchasing the chain earlier this month.

Village Hotels, which operates over 30 sites across the UK, has garnered attention from major players in the industry due to its strong presence and budget-friendly accommodations. KSL Capital Partners, the current owner of the chain, is reportedly seeking offers in the region of £850m, with Morgan Stanley overseeing the auction process.

Founded in 1995 as Village Urban Resorts, the chain offers a portfolio of properties ranging from Aberdeen to Bournemouth, featuring pub-style restaurants and gyms. KSL acquired Village Hotels in 2014 for £485m from De Vere Group, expanding its presence in the UK hospitality sector.

While Blackstone and Sixth Street have refrained from commenting on their bids for Village Hotels, the competition for the acquisition highlights the attractiveness of the mid-market hotel chain to investors. Stay tuned for more updates on this developing story.