Luxury 'festival' hotel Birch closes after going into administration

Luxury ‘festival’ hotel Birch that tried to entice wealthy creatives with pottery, yoga and sourdough baking classes for £150-a-night closes after going into administration

  • Hotel was billed as a cross between Soho Farmhouse and a creative arts festival 
  • Have YOU stayed at a Birch hotel? Contact [email protected] 

A luxury ‘hipster’ hotel that tried to create a ‘festival’ atmosphere with 140 rooms, pottery workshops and sourdough sessions has gone into administration.

The Birch Hotel in Hertfordshire emerged during the pandemic in 2020 to great acclaim, being named as Hotel of the Year by the Sunday Times.

It was billed as a cross between the members’ only club Soho Farmhouse and a creative arts festival set in 55 acres and just 30 minutes from London.

When its owners, Chris Penn and Chris King, bought the former conference hotel in 2018, they spent £8.5million over two years on renovations.

The aesthetic was chic and modern while repurposing existing material from the site, which was originally built in 1763 and is a Grade II-listed building

The restaurants and bars at the hotels were received to great acclaim. It was named Hotel of the Year by The Sunday Times

The aesthetic was chic and modern while repurposing existing material from the site, which was originally built in 1763 and is a Grade II-listed building.

It was a joint venture between Mr Penn and Mr King’s management company, Performance Hotels, and real estate investment company Aprirose.

Also, Mr Penn was a former Ace Hotel London managing director.

Speaking to The Caterer in 2022, he said: ‘We will start around London, maybe with a couple more and then hope to venture outside some key European cities pretty soon thereafter.

‘We will do everything we can to not make any Birch space ‘typical’. Each space will be evaluated for its own merits, its own points of character and personality but all will follow the same mentality of facilitating escapes through nature, food, wellness, arts and community in an interactive and enriching way.’

The hotel was billed as a cross between the members’ only club Soho Farmhouse and a creative arts festival set in 55 acres and just 30 minutes from London

The Birch Selsdon Hotel near Croydon, pictured. Hundreds of staff were let go as a result of the financial problems

Mr King said at the opening: ‘We wanted to be brave. To show the scars of this place.

‘That will polarise people but we don’t mind.’

A room at the hotel didn’t come with a TV, with the idea to entice residents out of their rooms.

For entertainment, there were numerous classes and workshops.

You could try pottery, glassblowing, candle making, beekeeping, soda bread making, gong baths, board games or spoon carving.

There were also film screenings, fitness classes such as HIIT, al fresco yoga, a nightclub-style spin studio and more.

A second hotel opened in south Croydon last spring, with a membership scheme and two restaurants.

The restaurants, Elodie and Vervain, were managed by Michelin-starred chef Lee Westcott and received a rave review from Observer restaurant critic Jay Rayner.

However, the founders left the business just before the new location opened and new management was brought in last February.

This proved too late as the south Croydon hotel closed its doors last month and administrators have just put the Birch Hotel on the market.

Hundreds of staff lost their jobs in Croydon after many of the casual staff had already been let go.

The staff who remained until the end had to learn different roles and it was reported that the gardener was staffing reception.

Writing on Facebook, a former staff member said: ‘Nearly 300 of us got made redundant on the spot yesterday at 12pm with no pre-warning whatsoever right before Christmas.’

Another person claiming to be a former employee said: ‘None of us have been paid/will get paid our final wage which was due next Thursday! Five weeks pay!

‘So we are heading towards Christmas with ZERO MONEY. Some of those people have young families, new babies, or live alone with no support group around them.’

According to The Caterer, the business ran into difficulty due to ‘cash constraints’.

Writing online, many people complained about the Croydon hotel being overpriced and alienating locals with its membership scheme.

One person said: ‘There’s not much of a market for the “hipster” vibe in Croydon, sadly.’

A former employee said nearly 300 people were made redundant on the spot just weeks before Christmas

People complained about the hotels being overpriced and alienating locals with the members only scheme

Another said: ‘If they had been more inclusive to local residents it might have been better.’

One person said: ‘People haven’t got that kind of money. Not surprised it’s closed!’

A former customer added: ‘I went on a Saturday when they had an all-day brunch.

‘The food was mediocre and the service was like something from Fawlty Towers.’

Another said: ‘I feel for the staff, I truly do but this place didn’t stand a chance. Astronomical prices and the few staff I encountered were snobby and looked down their noses.’

One person said: ‘I’m not surprised, much too niche and expensive. I looked at the restaurants but the menus and cost did not appeal, so never visited. An unsustainable business model.’

A former customer at the Hertfordshire branch added: ‘Visited Hertfordshire Birch in January for a two-day business meeting.

‘Ridiculously overpriced and they were clearly in trouble.

‘Surprised when they opened Selsdon but no surprise at all they are closing. Completely unsustainable. Shame for the staff.’

The property company that won the rights to sell the hotel, Savills, said the sale provided investors with a ‘unique opportunity to acquire a substantial freehold property’.

Savills hotel agent Harriet Fuller added: ‘It has been recently refurbished to seamlessly combine modern design aesthetics with the amenities of a lifestyle hotel and private members’ club.

‘We expect this to be a highly south-after asset.’

Source: Read Full Article