Raffles in line to operate London’s Old War Office

Raffles Hotels & Resorts is the preferred operator of an hotel in London’s Old War Office, once occupied by Winston Churchill, two people familiar with the plans told Bloomberg.

The building in Whitehall, which is being redeveloped by the Hinduja Group and Spain’s Obrascon Huarte Lain, will become the first Raffles hotel in London if the agreement is signed, said the people, asking not to be identified because the plans are private. The Raffles brand was bought by Accor, Europe’s largest hotel operator, earlier this year.

A spokesman for OHL said no final decision on the operator of the hotel has yet been taken, while officials at Accor and the Hinduja Group declined to comment.

Hinduja and OHL bought the Old War Office, less than one mile from Buckingham Palace, from the UK Ministry of Defence for 350 million pounds (US$457 million). The venture plans to turn the 581,000-square-foot property into a hotel and 50 apartments, according to OHL’s website.