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A buyers market for would be hoteliers?

A buyers market for would be hoteliers?

Thursday 05 July 2018

A buyers market for would be hoteliers?

Thursday 05 July 2018


An Express investigation has found at least five hotels are up for sale in Guernsey, with a number of others shut or left in a state of disrepair pending new investment.

While The Guernsey Literary and Potato Peel Pie Society book and subsequent film has been said to have boosted the tourism economy in the island, Express has looked into the local hotel industry and found that many are for sale or are not being utilised at this current time.

In May, Express reported figures released by VisitGuernsey which said that trade partners were reporting a healthy increase in holiday bookings, as tourists planned visits to ‘the island that inspired the film’.

They also said that in the immediate five days after the film was released, the VisitGuernsey website saw a 130% uplift in traffic. Key tour operator partners were also positive with C. I. Travel Group reporting a 55% increase in bookings to Guernsey during April compared to 2017. However, it has not been clear whether that interest has translated into actual hotel bookings.

Last week, Express revealed that Fermain Valley Hotel and Ziggurat Hotel, both owned and run by Vista Hotel Group, which is managed by Tim Coates were up for sale at £9million and £2.450million respectively.

Further investigation has now revealed that La Villette Hotel in St Martins is also on the market for £3.750million.

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Pictured: La Villette Hotel is being advertised for sale on a national website

The website lists La Villette Hotel as a freehold property with "extensive leisure facilities" comprising of a 36 bedroom detached hotel with a separate 13 bedroom staff block, private owners’ apartment and manager’s flat.

It states that: "the hotel has been operated by the current owners for the past 45 years and it is the first time it has been put on the market during this period."

Whilst these three properties are being sold as ongoing businesses, another former St Martin's hotel still lies dormant even though it has had planning permission to convert it into apartments since 2009.

St Martin's Hotel in Les Merriennes has been closed to visitors for a number of years and initial planning permission to convert the main building to 35 apartments and the staff accommodation to five dwellings was renewed in 2016, yet the building still lies dormant with no apparent movement on this project.

Other hotels remain closed and have been boarded up including St Margarets Lodge Hotel and the Bon Port Hotel with no indication of whether they will re-open, although St Margarets Lodge had planning permission refused in 2012 to convert its staff building into five dwellings.

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Pictured: The Hotel Bon Port has been boarded up

Also owned by the Vista Group, another hotel which is up for sale, albeit on a 'Price On Application' basis is the Chalet Hotel. It has been empty since its closure to guests a number of years ago.

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Pictured: The Chalet Hotel remains listed as for sale POA

Finally, the Bedford hotel is another property listed for sale locally for £2.5millon. In its description the agent describes it as a "unique opportunity to purchase an open market dwelling with hotel rooms," however it also states that if the purchaser wished they could make the whole property an Open Market home.

Tim Coates, the Commercial Director of the Fermain Valley  Hotel said last week that his hotels were up for sale as "an administrative exercise" to gauge market value in a buoyant economic tourism environment, however there are still many buildings left redundant elsewhere across the island, which could be used for visitor accommodation.

Pictured main image: La Villette Hotel

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