Potential buyers are lining up to purchase Butlin's, the chain of holiday camps, according to reports.
The three resorts at Minehead, Skegness and Bognor Regis are currently owned by Bourne Leisure. Blackstone, a US private equity company, purchased Bourne Leisure in 2021 but is looking to offload the Butlin's part of the business. It put the three camps up for sale last year.
Blackstone is looking to "reshape" its Bourne leisure parks arm as it assesses the future of the business, reports Somerset Live .
It is also reported that Bourne Leisure and Blackstone are said to have decided that Butlin's is "sub-scale and therefore non-core to its growth plans". Sky News is reporting that Queensgate Investments, a property investor behind a portfolio of five-star London hotels, is said to be among the suitors for the holiday brand. It has reportedly joined a trio of rivals in the race to buy Butlin's from Bourne Leisure.
Queensgate is vying with Bain Capital, Epiris and Asda's parent company TDR Capital, according to Sky News. It is believed the price tag for the three Butlin's sites will be in the region of £600m.
It has been reported that the Butlin's chain will require "significant investment" to modernise its three camps heading forward. It is understood the signature "skyline" tents at all three resorts need to be replaced.
Somerset Live has been told the current tents "have holes in the roofs" and often leak when it rains. To replace them would be costly and would cause massive disruption to business, "which is why previous owners just left them".
Billy Butlin set up the company in 1936 with the aim of providing cheap getaways for Brits. Around one million people go on holiday at a Butlin's every year to this day. At its peak the company had nine camps in the UK. The camps are known for their famous "Redcoat" guides that help visitors enjoy their stays.
Blackstone, Bourne Leisure's controlling shareholder, declined to comment.
