Staycity snaps up £17 million building in Birmingham

Dublin-based serviced apartment operator Staycity has signed a £17million (€20.9 million) deal for a 170-room building in the centre of Birmingham.

The property, which is located in the city’s historic Jewellery Quarter, is due to open in May 2015. It consists of a number of one and two-bedroom apartments.

Staycity, which has over 1,000 short-term let apartments across eight European cities including Dublin, Edinburgh, Liverpool, Manchester, London, Paris and Amsterdam, currently operates 82 apartments in Birmingham’s Arcadian centre, near New Street Station.

"We are delighted to announce this deal, which is an important part of our European expansion strategy. Birmingham is one of the most important business and leisure centres outside London. This property will give us a stronger foothold in the city as the demand for serviced apartments grows," said chief executive Tom Walsh.

The group, which was established in 2004 by Mr Walsh and his brother Ger, is seeking to expand its operations to 5,000 apartments over the next five years. Later this month, the company will open 161 purpose-built apartments across two properties in Greenwich, London. It is also opening up new properties shortly in Venice and Lyon.

Staycity is a privately held company with headquarters in Dublin. The majority shareholding is held by the founders and management, while some 40 per cent is held by Irelandia, the investment vehicle of the Ryan family.