EP Business in Hospitality Issue 48 - January 2014

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A grand revival Spring 2013 saw the reopening of the Great Northern Hotel in King’s Cross. Labelled as a luxury boutique hotel, many were sceptical that the hotel would ever take off. Add in JEREMY ROBSON, an unconventional owner-operator with no prior experience in hotel management, and the industry was eager for a story. NICOLE THOMPSON went to find out more 34 | January 14 | EP
BUSINESS Opened in 1854 and originally designed by architect Lewis Cubitt, the Great Northern Hotel was London’s first railway hotel. It enjoyed the glamour of being the first of its kind and drew in wealthy travellers using the station at King’s Cross. When the St. Pancras Hotel opened directly opposite 20 years later, it seemed that the Great Northern Hotel was destined to fall away. Whatever status the hotel had enjoyed before was eroded with the arrival of this Gothic neighbour. Later, the Great Northern Hotel’s owners tried to gain occupancy by refurbishing its interiors for budget travellers, at which point the hotel lost all credence. It was shut down 12 years ago and was picked up from the real estate market by RAM, an asset management group, who gave it £42 million worth of love and restoration. Jeremy Robson, the owner of RAM, has now become the owner-operator of the Great Northern Hotel. A former banker, Jeremy has been interested in architecture from an early age. He had studied architecture for the first year of university until a defining meeting with his university professor, who strongly suggested he change degrees. Jeremy went on to qualify as a chartered surveyor with Hilier Parker in 1992 after graduating with a first class honours degree in estate management in 1990. Later, he moved to investment banking, where he specialised in real estate finance and eventually became Senior Managing Director and Head of Principal Finance at RBS, delivering a £330 million net income return for the bank in his last year. He established RAM in 2007 to become more directly involved with his property investments. Through the group he owns other hotels in Scotland, but the Great Northern Hotel was the first property he decided to operate. Despite having no prior experience in operating hotels, Jeremy seems to be in his element. “I love hotels because all my interests intersect. There is an important component of design, working with people and being able to respect and challenge convention. When I took on the Great Northern Hotel, it was an honour to take a part of London’s hotel history that had failed for so long and completely turn it around. Alongside my management team, we asked ourselves what we were trying to achieve and then worked out the most efficient way to do it. At the beginning, many in the industry felt that my vision of converting GNH into a luxury boutique hotel was unwise. They were strongly suggesting I take the budget hotel route and not try and compete against the Renaissance St. Pancras. I feel that I’ve got a good sense of trends and saw an opportunity to create something truly special with the Great Northern Hotel.” Jeremy went on with his vision and surrounded himself with a management team that supported this view. Running through the list of names working alongside him we encounter some experienced industry players. “I don’t have a general manager. Anthony Thwaites, who was the GM with Malmaison for 16 years, is my rooms’ director. There is an important split here because I believe that in most cases, hoteliers are not good restaurateurs. Scott Sapot, former Director of the Ivy members club, is my Food and Beverage Director. Finally, I wanted to establish a strong culinary presence in the area so it was exciting to bring on Mark Sargeant and Mike Denman (previous head chef at Hix Soho) as my executive chef team. I try to run the business with the guys acting as entrepreneurs not heads of department. If the hotel does well they are rewarded accordingly. “Following my instinct and staying true to my vision has paid off. I’ve got four business offers here: Kiosk, the GNH bar, Plum + Spilt Milk and of course the rooms. There is a design ethic and a brand that runs all the way through and the environments that we have created are distinct. We focused on creating business offers that were outward looking – most hotels have ancillary uses that are used by residents. Plum + Spilt Milk is 85 percent non-resident, GNH Bar is 90 percent nonresident and Kiosk is about the same. My food and beverage spend is about 50 percent of my total revenue because I run that department as a separate business. We are able to offer unrivalled value to the discerning customer.” Attention to detail is apparent throughout the hotel. The focus on the transient customer’s comfort is evident with sound-proofing to detract from the noise levels of King’s Cross, international power outlets to aid travellers and comfortable chairs to sink into in all the lounging areas. Each guest floor has complimentary self-service pantries where guests can indulge in freshly baked cakes and a selection of sweets. References to the hotel’s past as a railway hotel are discreet and present in features that add character and style to the rooms’ interiors. “I’ve loved working as a hotel operator and setting up GNH has proven to be a rewarding challenge. I’m just focusing on hotels and I can’t see myself changing for the next 10 years or so. My family own the hotels in Scotland and our plan is to grow that portfolio to 20-25 and then go for an IPO. Next plans for me are more boutique hotels – I’ve got a property I’m considering in the Caribbean and another in London.” At the time of this interview, the Great Northern Hotel had been operating for 19 weeks and had already made it on to The Sunday Times Ultimate 100 British Hotels. They were also shortlisted for the European Hotel Design Awards for the conversion of an existing hotel building. Since then they have gone on to win the Best Hotel Interior from the International Hotel Awards, among other accolades. It is clear that they have established themselves as a competitive player in the London hotel scene and a grand revival has been completed. • EP | January 14 | 35
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EP Business in Hospitality Issue 48 - January 2014

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