Safestay PLC

("Safestay", the "Company" or the "Group")

Planning approval granted for major new hostel in the heart of Brighton

One of Europe's largest hostel groups to develop a 170-bed hostel opposite the Royal Pavilion

Safestay PLC (AIM: SSTY), one of Europe's largest hostel groups, is pleased to announce that it has received planning approval to develop a new 170-bed hostel in the heart of Brighton. The planning approval follows the Group's acquisition in June 2024 of the freehold property on Pavilion Parade for a total consideration of £2.275 million.

Set over five storeys, the building is an attractive Grade II listed, Regency-style end of terrace property spanning 15,300 sq ft. It is ideally situated in the centre of Brighton, just 600 metres from the Brighton seafront and opposite the Royal Pavilion, a former regency palace and one of Brighton's most popular tourist destinations. It is also within close range of The Lanes, the city's vibrant shopping and leisure district.

Safestay will invest approximately £1.0 million in the conversion of the property, with the hostel anticipated to open in early 2026.

A popular tourist destination, Brighton is an easy journey from London and attracts over 11 million visitors per year¹, providing an excellent opportunity for Safestay to cater to a broad range of customers with its premium hostel offer.

Larry Lipman, Chairman of Safestay, said, "We're delighted to have obtained planning approval to convert our Brighton location into a 170-bed hostel. Once operational, the site will create approximately 20 new jobs in the area as well as making a significant contribution to the local economy by enabling potentially thousands more visitors a week to stay in one of Brighton's most vibrant and commercial areas.

Brighton is an amazing city, attracting millions of visitors throughout the year, making it a perfect fit for Safestay's strategy of building its portfolio offering fantastic, highly affordable accommodation in premium locations across some of Europe's most vibrant travel locations.

We have a proven track record of acquiring and developing hostels across Europe to create value. Our Edinburgh Cowgate hostel which opened in 2024 following refurbishment has performed incredibly well, proving hugely popular with visitors to the city looking for safe, welcoming, and great value accommodation. I am very confident that Safestay Brighton will be another fantastic addition to the Group's portfolio, and I can't wait for us to begin to welcome visitors in early 2026." 

¹ Visit Brighton, 2025

ENDS

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About Safestay PLC

Safestay PLC is one of Europe's largest hostel groups, operating in the fragmented and fast-growing global hostel market that is expected to be worth $8.9bn annually by 2027*.

Safestay's portfolio of 19 premium hostels and one hotel offer guests both private and shared rooms in destination cities across the UK, Spain, Belgium, Czech Republic, Germany, Greece, Italy, Poland, Portugal, and Slovakia.

The Group currently offers 3,750 beds across its locations and sold 848,633 bed nights in 2023, a 17% increase against the prior year.

Safestay's mission at each of its locations is to provide a safe, inclusive, and enjoyable space that caters to the needs of different travellers. Its properties offer first-class locations and thoughtful designs that cater for the different needs of travellers, from digital nomads to backpackers and from families to group travellers.

https://www.safestay.com/

*Source - Markets and Research, August 2022

Safestay's pan-European locations include:

·    Athens Monastiraki, Greece

·    Barcelona Gothic, Spain

·    Barcelona Passeig de Gracia, Spain

·    Berlin Kurfurstendamm, Germany (hotel)

·    Bratislava Presidential Palace, Slovakia

·    Brighton, UK (in development)

·    Brussels Grand Place, Belgium

·    Budapest, Hungary (in development)

·    Calpe Seafront, Spain (in development)

·    Córdoba Mezquita Catedral, Spain

·    Glasgow Charing Cross, UK

·    Edinburgh Cowgate, UK

·    London Elephant & Castle, UK

·    London Kensington Holland Park, UK

·    Lisbon Bairro Alto, Portugal

·    Madrid Central, Spain

·    Pisa Centrale, Italy

·    Prague Charles Bridge, Czeck Republic

·    Warsaw Old Town, Poland

·    York Micklegate, UK