UK: Care home, leisure and property business Malhotra Group is set to start work on 21-key aparthotel in Newcastle.
The firm says it is pushing forward with investment into expansion plans after seeing revenues and profits rise.
The aparthotel, formerly the offices off the GMB union, has been designed by Space Architects. It will have bar and restaurant facilities at the corner of Newcastle’s Mosley and Pilgrim Streets. The empty void between the building’s Pilgrim Street wall and the neighbouring property will be filled with a glass capsule lift which guests can use to reach rooftop gardens and the bar, which will have views across the city.
Malhotra’s accounts for the year ended March 31 2023, showed a 14 per cent rise in turnover to £47.1 million, while ebitda rose one per cent to £13.5 million. Operating profit rose 25 per cent to £10.4 million and shareholder funds were up five per cent to £90.1 million.
Chief executive Bunty Malhotra said: “Our staff have been outstanding and worked relentlessly during the last year so that our residents and customers could be provided with a high-quality service. We would like to offer our heartfelt thanks for their enormous efforts and dedication. Looking forward into our next financial year we recognise that there remain significant challenges for us to navigate, namely: the continued cost of living crisis, higher energy costs, increased interest rates, higher levels of inflation and a lack of supply of staff in the care sector. The headwinds we are facing will undoubtedly continue to impact our group, but our resilience, strong balance sheet and ability to generate cash across our divisions mean we are able to navigate these challenges but are not immune to them.”
Malhotra originally submitted a planning application for the aparthotel back in 2019.
