Sale of the i360 agreed

A sale has been agreed between the Brighton i360’s administrators, Interpath Advisory, and Nightcap Limited.

Founded by local residents and entrepreneurs Sarah Willingham and Michael Toxvaerd, Nightcap is one of the UK's leading hospitality and leisure groups, operating 46 award-winning venues across the UK.

As investors, Sarah and Michael have successfully revitalised and enhanced multiple hospitality venues in Brighton and other UK cities, including Tonkotsu and Rockwater.

As part of the sale, the council has signed a deed of release with the buyer, which means that the debt owed by Brighton i360 will be written off.

Alongside this, the council has entered into a revenue share agreement with the buyer. This means the council will receive a 1% share of revenue from the tower annually.

The West Pier Trust will continue to be the landlord, as they are the freeholder of the site.

Councillor Jacob Taylor, Deputy Leader and Cabinet member for Finance and City Regeneration, said: “The sale of the i360 represents a new chapter for the attraction.

“Nightcap is a superb company, with a proven track record of successfully operating hospitality venues locally and across the country.

“As local residents, the new owners understand the history of, and potential for, the attraction and are committed to revitalising the i360.

“This sale is the best option for the city now and should help to ensure our seafront continues to thrive. I wish Nightcap all the best in making it a success.”

Since the Brighton i360 went into administration in December, the council has worked with the administrators while they continued to seek bids to buy the attraction and site. Despite a lot of interest, no buyers came forward before the i360 went into administration, and no better offers were received.

While the final terms of the sale were a decision for the administrators, they had to act in the best interests of creditors. As the largest creditor, the council needed to agree to release the debt owed by the Brighton i360 ahead of a sale.

Last month, Cabinet agreed to release the council’s security on its £51m loan debt and rolled-up interest to the potential buyer.

Cabinet also agreed to commission an external independent investigation this year, to understand and learn from the original decision to loan public money to construct the Brighton i360.

Councillor Taylor added: “Now the sale has gone through, and the immediate future of the attraction is secured, we must turn our attention to investigating the decision-making process that got us to this point.

“Investment in the i360 has come at considerable cost to the public, and the council cannot make a mistake of this magnitude again.”

Read the Cabinet report on the decision of the future of the i360.