Key Points
- Whitbread PLC has appointed Legendre UK as the lead contractor responsible for converting Phoenix House in Vauxhall into a Premier Inn hotel consisting of 180 rooms.
- This will be the first time that the Premier Inn hotel chain makes its presence felt in the Vauxhall district.
- It involves the conversion of an existing 80,000 sq ft, 10-story office building into hospitality accommodation with Premier Plus rooms, a restaurant, and a reception area.
- According to a unique deal arrangement, Whitbread will lease the site on a 30-year lease basis from the Lambeth Council, which holds the head lease of the property.
- Construction activities are expected to begin in late 2025 and to be completed by the end of 2027.
- Approximately 25 job opportunities will be generated at the hotel once operational.
- Building goal is set to meet very high standards of sustainability, with a specific aim of achieving the BREEAM Excellent standard.
Vauxhall (South London News) September 21, 2026 – Whitbread PLC, the parent company of Premier Inn, has officially appointed Legendre UK as the primary contractor to undertake the construction work for a new 180-bedroom Premier Inn hotel in Vauxhall, South London. The project focuses on the total adaptive reuse of Phoenix House, a 10-storey, 80,000 sq ft former office building situated directly opposite Vauxhall Station within the St George Wharf development. The scheme introduces the Premier Inn brand to Vauxhall for the first time, breathing fresh economic life into a property that has sat largely redundant for several years.
- Key Points
- What Are the Key Construction and Design Plans for Phoenix House?
- How Was the Property Deal Between Whitbread and Lambeth Council Structured?
- What Economic Impact Will the Vauxhall Premier Inn Bring to the Local Area?
- How Does the Vauxhall Project Fit Into Whitbread’s Wider Growth Strategy?
- What Other Major London Refurbishment Projects Is Legendre UK Undertaking?
- Background of the Vauxhall Premier Inn Development
- Prediction: How This Development Will Affect Key Stakeholders
What Are the Key Construction and Design Plans for Phoenix House?
The physical transformation of Phoenix House will rely on retaining and utilising the existing structural shell of the building rather than resorting to demolition. Inside, the original office floorplates are set to be stripped out and replaced with Premier Inn’s latest interior bedroom designs, which will include a selection of the brand’s premium Premier Plus rooms.
Further structural and internal upgrades are planned for the building’s existing mezzanine level. This space will be reconfigured to house the hotel’s main reception facility and an integrated guest restaurant. As part of Whitbread’s broader corporate environmental targets, the entire refurbishment project has been designed to meet stringent environmental metrics, with the project team officially targeting a BREEAM Excellent certification upon completion.
How Was the Property Deal Between Whitbread and Lambeth Council Structured?
Phoenix House was originally constructed in the early 2000s as part of the wider St George Wharf riverside development near the River Thames. Lambeth Council subsequently acquired the freehold or long leasehold of the building in 2004, utilising the site as local authority office space until 2019. Following the relocation of council services, the property remained largely vacant.
To bring the asset back into active commercial use, Whitbread and Lambeth Council agreed to an innovative property transaction. Under the terms of the arrangement, Whitbread took on the responsibility of leading and funding the office-to-hotel conversion. Upon completion of the construction works, Whitbread will take a 30-year operational lease on the hotel from Lambeth Council, while the local authority retains the underlying long-term head lease.
What Economic Impact Will the Vauxhall Premier Inn Bring to the Local Area?
The introduction of the new hotel is expected to deliver direct and indirect financial benefits to the immediate Vauxhall neighborhood. Once operational, the site will directly create approximately 25 permanent hospitality jobs, spanning management, front-of-house, housekeeping, and food service roles.
Beyond direct employment, the presence of 180 guest rooms opposite a major London transport interchange is projected to generate sustained year-round footfall. Guests visiting the hotel will contribute additional local spending across nearby retail, dining, and leisure businesses located within Lambeth and the surrounding South Bank area.
How Does the Vauxhall Project Fit Into Whitbread’s Wider Growth Strategy?
Office-to-hotel conversions have long formed a core component of Whitbread’s London property strategy, dating back to its conversion of County Hall on the South Bank in the late 1990s. The Phoenix House scheme represents a direct continuation of this strategic model.
Under Whitbread’s current Five-Year Plan, Central London remains designated as a primary growth market for both the flagship Premier Inn chain and its compact companion brand, hub by Premier Inn. The company already operates more than 100 hotels within the M25 boundary and has officially identified 40 further target locations across the capital where it intends to expand its network footprint.
What Other Major London Refurbishment Projects Is Legendre UK Undertaking?
The contract award at Phoenix House adds another major scheme to Legendre UK’s expanding portfolio of commercial refurbishments in the capital. The main contractor has built a specific track record in executing complex urban building conversions and structural redevelopments.
Earlier this year, Legendre UK, operating alongside its joint venture partners, secured planning consent to convert Grove House in Hammersmith—another underutilised office building—into a 171-room hotel. In addition, the contractor is currently delivering the redevelopment of the former Diageo headquarters in Park Royal, North-West London, which is being transformed into a 429-room hotel scheme.
Construction at the Vauxhall site is slated to commence later this year, with the final handover and operational launch anticipated by the end of 2027.
Background of the Vauxhall Premier Inn Development
The conversion of Phoenix House occurs against a broader backdrop of shifting real estate dynamics across Greater London, particularly regarding office space demand and local authority asset management. Since 2020, structural changes in working patterns have led to reduced corporate demand for traditional secondary office spaces. As a result, older office blocks constructed in the late 1990s and early 2000s—such as Phoenix House—have frequently faced higher vacancy rates or required significant capital expenditure to meet modern commercial workspace standards.
Concurrently, local authorities across London, including Lambeth Council, have sought ways to optimize their commercial property portfolios. By partnering with private operators like Whitbread, councils can secure long-term rental income through head leases without taking on the operational risks of property management or leaving public assets disused.
For Whitbread, converting existing office frames rather than building from ground-zero offers a faster route through planning and construction. Office structures typically possess the floorplate depth, column spacing, and central service cores required for hotel room layouts. Furthermore, retaining the existing primary concrete and steel framework substantially lowers the embodied carbon footprint of the development compared to a complete demolition and rebuild, aligning with modern sustainability benchmarks like BREEAM.
Prediction: How This Development Will Affect Key Stakeholders
The delivery of the Vauxhall Premier Inn is expected to influence several distinct groups across the local economy, property market, and travel sector:
Local Residents and Businesses in Vauxhall
For the immediate community around St George Wharf, the activation of an 80,000 sq ft vacant building will eliminate a long-standing dead frontage opposite Vauxhall Station. Local retail outlets, cafes, and restaurants are likely to see an increase in daily customer traffic driven by hotel guests and visiting staff. The creation of 25 permanent jobs also provides entry-level and supervisory employment opportunities for nearby residents.
Local Taxpayers and Lambeth Council
From a municipal finance perspective, the 30-year lease structure provides Lambeth Council with a predictable, long-term revenue stream from an asset that previously generated maintenance overheads while sitting empty. This income can help support general local authority budgets without adding financial exposure to hotel operational volatility.
London Tourists and Corporate Travellers
The addition of 180 mid-scale and Premier Plus hotel rooms directly opposite a major transport hub enhances accommodation capacity in South Central London. Travellers gain direct access to Victoria Line subway services, National Rail routes, and bus connections, providing an affordable staying option near major landmarks without needing to stay in the traditional, higher-cost West End core.
Commercial Property Developers and Competitors
If successful, the Phoenix House transformation will serve as a further proof-of-concept for institutional office-to-hotel conversions across London. Commercial landlords holding underperforming Grade B office assets within zones 1 and 2 may increasingly view hotel operators as viable long-term tenants, accelerating similar conversion proposals across the capital over the next decade.
