The value of five-star hotel The Lanesborough has been cut as its pre-tax loss widened during its latest financial year, it has been revealed.
The hotel, which is located on Hyde Park Corner, saw its valuation reduced by CBRE from £255m to £241.6m at the end of 2023, newly-filed accounts with Companies House have revealed.
The results also show that the hotel made a pre-tax loss of £15m for 2023, after also posting a loss of £11.2m in 2022.
The Lanesborough’s loss widened despite its turnover increasing in the 12 months from £34m to £37.5m.
The hotels’ room revenue edged up from £22.2m to £22.8m in the year while its food and beverages sales increased from £7.2m to £9m. Its spa turnover rose from £1.8m to £2.2m.
During the year the average number of people employed by The Lanesborough also grew from 303 to 354.
A statement from the board said: “Despite a challenging first quarter and some geo-political challenges with the Middle East, 2023 has been a great success, driven by the continued strategy to drive average daily rate.
“The American and United Kingdom markets have performed exceptionally well and continue to be our strategy for growth in 2024.
“Consistent with the previous two years, the strategy for the year has been to drive a strong ADR growth, in line with the market whilst remaining loyal to our regular guests, who have supported the hotel throughout the years.
“We continue to focus on our core DNA of a true British ultra-luxury experience that is ingrained in everything that we do, and the guest experience, through thoughtful, anticipative and warm service.”
The Lanesborough is ultimately owned by the Abu Dhabi Investment Authority.