The Savoy is a 263-room hotel in central London that originally opened in 1889. In 2005 Prince Alwaleed acquired the Savoy Hotel in London, together with European financing partner, the Bank of Scotland (now HBOS). KHC believed that the Savoy represented an opportunity to replicate the refurbishment and repositioning strategy KHI had used with the George V Hotel.

The Savoy is expected to be closed in late 2007 for renovations which are expected to continue until the end of 2008. The estimated cost of the renovations is approximately £100 million. Following the renovations, the hotel will seek to increase its rental rates and revenues, which is expected to increase the overall value of the asset.