A Grade II-listed Victorian hotel in Plymouth has been snapped up by an offshore property giant in a multi-million pound deal.
The 156-year-old - described byĀ Sir John Betjamin as "one of the finest examples of Victorian gothic architecture" - been purchased from current owners Jonathan Morcom and Walter Combstock in an undisclosed seven-figure exchange by Singapore-based property developer Fragrance Group.
That company ā which works across Asia, Australia and Europe and has a capitalisation of US$1billion ā has immediately leased the pile to ŗ£½ĒŹÓʵ boutique and luxury hotel specialist Bespoke Hotels.
That company, which has about 70 hotels under ownership or management in the ŗ£½ĒŹÓʵ , will retail all 65 staff members, including the manager, and said it will make no immediate changes to the building or the business, other than to depart from its membership of the Best Western group of hotels and the closure of its separately run Tigermilk cocktail cellar bar.
Mr Morcom and Mr Combstock, who have run the Millbay Road hotel since a management buy-out in 2001, will shut down their Plymouth Hotel Co vehicle.
Graham Marskell, Bespokeās managing director, said: āWe like Plymouth as a city and see opportunities in Plymouth. There is a lot of development in this area.ā
He added: āThe key for Bespoke Hotels is that every hotel is individual and should focus on the local market, local people, and remember thatās where the main business comes from.
āAt Bespoke we support them in this objective, we are not coming in to make changes immediately. We need to understand what the community wants and what the hotel staff think is best for the business and the building.
āBut through our distribution channels we have a lot of relationships that can bring business to this area.ā
But he stressed: āItās a listed building and other than seeing it is maintained we have no plans. We are pleased to be taking on a hotel in such a good condition.ā
Mr Morcom and Mr Combstock said it was āthe right timeā to sell up.
āWe received an offer from Fragrance,ā said Mr Morcom. āItās (the deal) been 18 months in the making.
āBut we just felt that the time was right, and are also aware that there are a lot of hotel developments coming (to Plymouth).ā
During Mr Morcomās and Mr Combstockās time in charge more than Ā£1.5million has been pumped into the hotel, including refurbishing bedrooms, meeting rooms and the restaurant.
Mr Combstock said: āWe felt we have taken the hotel to the level we can take it. It needs and input from someone else, fresh eyes.
āA company like Bespoke that has more resources will take it to the next level. Bespoke will make a success of it, they are bigger and stronger.ā
Mr Morcom said: āWe are sad but happy. This is a business decision and secures the teamās future. Itās positive.ā
Mr Combstock, who began his career working in the hotel as a teenager, and said: āI have been here for 57 years, since I was 17. I live across the road. I donāt know what Iām going to do in the short term. But I canāt retire.
āI think Jon and I will do a project of some kind together in future, but Iām not sure what it will be. We are not just business partners, but friends. This would not have lasted if we had not been close friends.ā
South West commercial property in the news
To contact William Telford: william.telford@reachplc.com
To sign up for BusinessLive's daily newsletters
