Schroders Capital, the private markets division of Schroders with $99.3 billion in assets, has successfully acquired W Edinburgh from Nuveen Real Estate. This marks a strategic addition to Schroders Capital’s hotel portfolio, focusing on premium assets with long-term growth potential.
Acquisition of a new asset
Schroders Capital has completed its acquisition of W Edinburgh, Marriott International’s first luxury property in the city, which opened in November 2023.
Located in the heart of Edinburgh’s St James Square, the hotel comprises 244 rooms across three interconnected buildings: the Ribbon Building, James Craig Walk, and the Quarter House. Regarding the design, it merges traditional Edinburgh architecture with modern aesthetics.
“The addition of the W Edinburgh to our portfolio is hugely exciting, as we continue to identify top-tier hotel assets that can facilitate multiple ways to create value and offer significant long-term growth potential. Edinburgh is an attractive market for Schroders Capital, and we look forward to working with the highly experienced and agile team at the hotel to ensure guest experience remains in line with the W brand quality and ethos. We expect this investment to follow many other successful collaborations between Schroders Capital and Marriott International in the luxury hotels space such as the St Regis in Venice and The Westin Palace in Milan.” – James Macnamara, Global Head of Value Add and Alternatives, Real Estate at Schroders Capital
Significance for Edinburgh’s hospitality market
The W Edinburgh is located in a newly developed area of Edinburgh, which has become a key part of the city’s luxury hospitality offering. The acquisition signals Schroders Capital’s continued interest in high-value properties within major European cities. The hotel’s prime location and distinctive design make it a standout addition to the growing Edinburgh market.
“The completion of the sale of the W Edinburgh marks a considerable milestone for St James Quarter as the first transaction realises over a decade of planning and development to deliver a leading destination in the heart of Edinburgh and the completion of a vision shared by our investors. The hotel itself has become an iconic landmark within the city centre whilst also providing a best-in-class offering worthy of Edinburgh’s status as a global tourist destination and recognised by being awarded Scottish hotel of the year 2025.” – Ed Webb, Director of Development Management at Nuveen
Schroders Capital’s ongoing growth in the hospitality sector
This acquisition reflects Schroders Capital’s continued expansion within the luxury hotel sector. With GBP 3.1 billion in hotel investments managed across various European markets, the firm is well-positioned to benefit from growing demand in key cities like Edinburgh, while leveraging its extensive experience in managing and developing hotel properties. Confirming this ambition, Schroders Capital has recently acquired the NH Collection Milan Lifestyle property.
