THE glamorous and exclusive district of London may seem a world away from the modest towns of East Lancashire.

But Blackburn brewery Daniel Thwaites is gaining a foothold in some of the most expensive real estate in the world.

Thwaites Plc has splashed out £10million on just two properties, 9 Park Place and 1-6 Blue Ball Yard, in St James's, Mayfair.

The properties are adjacent to the chic Stafford Hotel, which Thwaites also owns under its Shire Hotels subsidiary company.

The Stafford Hotel is renowned for having the most expensive pint of Thwaites beer in the UK at £5!

It's a far cry from more traditional Lancashire hostelries, like the Thwaites-owned pub the Fox and Grapes off Preston New Road, Blackburn, which charges £1.80 a pint and £20 a night for a room - £775 less than its London cousin.

The Stafford has been voted the best small luxury hotel in London for the last two years and is ranked second in the world behind the famous George V in Paris.

Shire Hotels, which employs 1,000 people across the country, is based at The Oaks Hotel, Reedley, near Burnley. It also owns The Millstone at Mellor as part of its portfolio of quality mainly four-star hotels which won it Hotel Group of the Year 2003-4.

It was also a finalist in the Company of The Year category for the Pride of Lancashire Business Awards 2003.

These two new purchases are seen as an opportunity to extend the Stafford Hotel in the heart of the monied world of London.

The company told its shareholders: "It is our intention to redevelop the properties over the next two to three years, which, when complete, should enhance the long-term trading position of the Stafford Hotel.

"The properties are currently let to tenants on leases which expire at the end of 2004."

The district of Mayfair, famous for being the most expensive property on the Monopoly board, is close to West End theatres, Knightsbridge and galleries and within strolling distance of Buckingham Palace, the Houses of Parliament, Hyde Park and St James's Palace.

The Stafford currently has 81 luxury rooms and suites, a gourmet restaurant and period furnishings with antique pieces. It also has a two-storey suite dubbed The Guv'nor's Suite which costs a whopping £795 per night.

Thwaites, which last year had a pre-tax profit of £12million, was founded in 1807, and remains family controlled.

It employs more than 700 at its Blackburn town centre brewery and distribution centre in Shadsworth.