Whitbread’s Phoenix House transformation gets unanimous approval from Lambeth Council
Whitbread PLC, the UK’s largest hotel operator and the brand behind Premier Inn, has been given the go-ahead to transform Phoenix House in Central London into a 180-room budget hotel.
Lambeth Council’s planning committee granted unanimous approval on Monday, 29th July, for the conversion of the 11-storey office building in Vauxhall. The green light comes just five months after Whitbread committed legally to occupying the empty premises.
Located just a four-minute stroll from Vauxhall Underground Station and overlooking the River Thames, the new Premier Inn will offer affordable stays in a prime part of the capital — a major boost for budget-conscious travellers and local employment alike.
In February, Whitbread signed a deal to acquire the 7,469-square-metre property, contingent upon receiving planning permission.
Although the council retains the long-term head lease, Whitbread will now begin the interior revamp to house its latest generation of Premier Inn rooms, including the upgraded Premier Plus rooms. A new guest-centric restaurant will also be introduced on the mezzanine level.
The exterior of Phoenix House will remain largely unchanged, with modifications kept minimal and consistent with its current architectural character. Once completed, the hotel is expected to generate approximately 27 permanent jobs in the hospitality sector.
Jonathan Langdon, Whitbread’s Senior Acquisition Manager, shared his excitement: “We have been searching for a suitable location for a Premier Inn in the Vauxhall area for nearly a decade, so it’s fantastic to secure planning consent at Phoenix House and add another excellent location to our Central London network.
Situated by the River Thames and a four-minute walk from Vauxhall Underground Station, Phoenix House is an excellent hotel location and an ideal base for our leisure and business customers looking to explore the area or catch a fast connection into the heart of London.
The development is the latest example of how Whitbread can breathe fresh life into unused former offices and, in this case, also provide Lambeth Council with a secure, index-linked income stream. We are on the lookout for more opportunities like this as we continue to expand our market-leading brands in London and elsewhere.”
Phoenix House has been empty since 2019, after Lambeth Council vacated the site under its ‘Your New Town Hall’ initiative. The larger strategy aimed to reduce the Council’s core office buildings from 14 down to just two. The broader benefits of the scheme included the creation of 219 new homes for both rent and sale.
Attempts to lease Phoenix House to a global office operator fell through after the tenant ran into financial trouble. During the height of the pandemic, with large office demand at an all-time low, the council used the space for temporary, project-based purposes.
This latest development falls in line with Whitbread’s broader strategy to repurpose obsolete office spaces into thriving budget hotels. The company, which currently operates over 850 hotels across the UK and Ireland, is eyeing a 45% expansion in its total room count – aiming for a future target of 125,000 rooms.
The new Vauxhall Premier Inn is expected to open its doors in 2027. Planning consultancy for the project was handled by JLL.
Whitbread’s adaptive reuse of office spaces could pave the way for more practical, economically beneficial regeneration projects in key city areas, aligning with shifting property demands in a post-pandemic world.