BT Group has confirmed the sale of the iconic BT Tower to MCR Hotels for £275 million. This move marks a significant shift in the purpose of the towering structure, as MCR Hotels intends to transform it into a prestigious hotel, securing its position as a timeless London landmark.
The payment for the acquisition will be staggered over several years, aligning with the gradual removal of BT Group’s equipment from the building. The final payment will be made upon the completion of the purchase, signaling a strategic shift for BT Group as it aims to streamline operations and reduce costs across the company.
This sale is part of BT Group’s broader strategy to simplify its property portfolio, following the sale of its former headquarters, BT Centre, in July 2019 for £210 million. The company’s decision to consolidate its offices from over 300 to approximately 30 underscores its commitment to efficiency and modernization.
As the UK accelerates towards a fully digital future, many of the network operations traditionally housed in the BT Tower are now facilitated through BT Group’s fixed and mobile networks. The removal of the Tower’s microwave aerials over a decade ago exemplifies this transition, as telecommunications traffic is now routed through alternative channels.
Brent Mathews, Property Director at BT Group, emphasized the historical significance of the BT Tower while acknowledging the evolving landscape of communication technologies. “The BT Tower has played a vital role in carrying the nation’s calls, messages, and TV signals,” Mathews stated.
MCR Hotels, known for its ownership of 150 hotels worldwide, including the historic TWA Hotel in New York City, brings a wealth of experience to the transformation of the BT Tower.
