Apex Hotels has restated plans to develop Custom House in Dundee and refurbish its neighbouring City Quay hotel.
The company reported another strong year of trading, with turnover up 7% at £61.3 million and underlying pre-tax profit up 11.8% at £10.3m.
The Dundee projects were confirmed as part of the hotel group’s further growth plans.
The company said strong trading across its nine-hotel portfolio – which spans London, Edinburgh, Glasgow and Dundee – and new room openings were key contributors to the 2016 performance.
The opening of Apex City of Glasgow in September 2015 and the 30-bedroom extension to Apex City of London saw room stock rise by 134 rooms, with valuations up by £10m to £336m.
The company reported capital investment of £16.1m during the last financial year and with its new 177-room hotel, Apex City of Bath, set to open in summer 2017.
Chief executive Angela Vickers said: “We are proud of our continued growth in recent years, defying challenging market conditions, and 2017 promises to be a very exciting time for us.
“Key to our success is our ongoing commitment to providing a guest experience that rivals that of global brands – distinguishing Apex Hotels in an increasingly competitive marketplace.”
She added: “We are also set to develop Custom House on Dundee’s waterfront next to our existing Apex City Quay.
“It is important for us to continue investing in our existing portfolio and we are planning further bedroom expansion at Apex Temple Court in London as well as refurbishment totalling £6million across our City of London, Grassmarket and Dundee hotels.
Discussions are in progress with Dundee City Council’s planning department about Custom House.
The company is taking time over the plans given the delicate nature of the Grade A listed building to produce a solution that is sensitive to its origins and its historic significance to Dundee
Within the existing Apex City Quay Hotel, the bedrooms and communal areas will be refurbished as part of the overall £6m three-site upgrade programme.
The chief executive said the company will continue to look at other opportunities to extend and complement its portfolio in 2017.
