Birch closes its second site one week after announcing administration

Posted in News on 1 December, 2023

The young hospitality group close both sites in Cheshunt and Selsdon permanently, despite only launching the latter in spring 2023.

Birch announced last week that the business had gone into administration upon the sudden closure of its Cheshunt site. A statement posted on their website reads: “We deeply regret to inform you that the owners of Birch Cheshunt Theobalds Park Op Co have placed the business into administration and the administrators Teneo, are closing the hotel with immediate effect. We are very sad to share this disappointing news and apologise for the obvious distress and disruption to our members, guests, suppliers and the great employees.”

With no word last week on the new Selsdon hotel, the industry was left wondering if it would stand to operate as an independent entity. A highly anticipated opening for the UK earlier this year, the launch gained a lot of traction and appeared to be a hugely successful growth step for the brand. The expansive 19th-century mansion – which was reimagined by A-nrd and Sella Concept interior design studios – comprised 181 guest rooms, two restaurants, three bars, a complete wellness space, a lido, tennis courts, and a co-working space. Additionally, it had a pottery studio, a screen-printing workshop, a reading room, an arcade, and a screening room.

However, just a week on from the closure of Birch Cheshunt, the fully operational Selsdon side of the website was replaced with another statement announcing the second site’s closure, again with immediate effect.

Similar to the Cheshunt statement it reads: “Milan Vuceljic and Andrew Pear of Moorfields Advisory were appointed Joint Administrators of Selsdon Estates Op Co Limited on 17 November 2023. The affairs, business and property of the company are being managed by the Joint Administrators. The Joint Administrators and their staff act as agents of the company and without personal liability.

We regret to inform you that the Joint Administrators have taken the difficult decision to close the hotel with immediate effect. We appreciate this is disappointing news and apologise for the obvious distress and disruption to our members, guests, suppliers and the employees.”

The news comes as a surprise since the young hospitality brand was launched just three years ago under Performance Hotels, by Chris King and Chris Penn – who was formerly an Ace Hotel managing director. Back in 2022, following their work on the unique concept development and the launch of the inaugural Birch at Cheshunt, they decided to step back to focus on new opportunities outside of the brand.

Despite the change, the future looked bright as Birch announced a new senior management team to take the brand to the next stage of its growth, starting with the launch of Birch Selsdon. At the time, Ayo Akinsete, who had joined as Managing Director, said: “The success of the first Birch site gives us a strong foundation to grow the brand and portfolio. What we have created is truly unique and a proven market concept, which we are keen to bring to new locations, for more to share and experience. I am really looking forward to utilising my experience in growing the operations of some of the world’s most exciting hotel groups to Birch, whilst continuing to focus on creating a festival-like atmosphere, where guests are free to choose their own experience from a wide plethora of amenities and activities.”

No further statements on the matter have been released from Birch at present. The contact details for the Cheshunt site administrators Teneo, are rutendo.mutetwa@teneo.com. The contact details for the administrators of the Selsdon site are selsdon@moorfieldscr.com