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London Town Group appoints Cycas Hospitality to manage its three Paddington hotels


Cycas signs strategic partnership with London Town Group to operate its first two Mercure properties and second Hotel Indigo
New deal increases Cycas’s footprint to eight hotels in London, and 18 across the UK. Cycas Hospitality, the award-winning pan-European operator, has signed a deal to operate London Town Group’s portfolio of upscale boutique hotels in the UK capital.


The London Town Group of Companies, founded by Koolesh Shah, is one of the UK’s leading, privately-held real estate and energy investment companies.

The agreement sees Cycas welcome its first two Mercure-branded hotels - part of Accor - to its portfolio. While the 72-room Mercure London Hyde Park - set within a Grade II listed building - recently completed a multi-million pound refurbishment, the 86-room Mercure London Paddington is scheduled to start a fully renovation programme next year. As part of the extensive works, the hotel will upgrade its ground floor food and beverage facilities and transform its top floor into a rooftop bar. 

As Cycas’s seventh IHG-branded property, the 64-room Hotel Indigo London Paddington becomes its first Hotel Indigo in London and joins Hotel Indigo Dundee as its second in the UK.

All three properties offer a wide range of dining options, meetings facilities and state-of-the-art fitness centres, all just a short walk from Hyde Park and Paddington Station, whose access will be further boosted with next year’s opening of Crossrail and the Elizabeth Line.

Cycas has appointed Tanja Furby as Cluster General Manager for the three London hotels. A seasoned operator who has worked across a wide range of leading hospitality brands, Tanja’s commercial skills, leadership and local knowledge will help Cycas maximise each property’s customer offering.

Koolesh Shah, Founder of London Town Group, said “As our business diversifies and grows, I felt now was the time to bring on board a recognised industry leader in hotel operations to partner on the transformation journey of our hotels.

We’ve always prided ourselves on our collection of leading branded-boutique hotels, and we’re confident that Cycas’s track-record in delivering the highest hospitality standards will ensure we can continue to give our guests the best possible experience.”

Matt Luscombe, Chief Executive Officer at Cycas Hospitality, said: “I’ve known and admired Koolesh and his team for many years, since he opened the first Hotel Indigo outside of North America in 2009. Over the last decade, London Town Group has been synonymous with commercial and operational excellence.

With their central locations and exceptional transport links, these three hotels are ideally positioned to capitalise on the recovery in business and leisure travel. We’re proud and excited to begin this partnership together.

The deal follows continued expansion for Cycas Hospitality, which has now opened or taken over 17 hotels in 12 months, despite the challenges posed by the Covid-19 pandemic.

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