£465,000

Hotel for sale

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Freehold

£465,000

Hotel for sale

Drumbeg Hotel IV27, Highland

Local area information

Property location

Nearby amenities

  • Lochinver Primary School 6.9 miles
  • Scourie Primary School 7.3 miles
  • Handa Island Ferry Landing 9.4 miles
  • Tarbet (Scourie) Ferry Landing 10.3 miles

These distances are calculated in a straight line. The actual route and distance may vary.

Features and description

  • Freehold
  • Our Ref: P37
  • Attractive hotel in an elevated picturesque position on the West Coast of the Scottish Highlands with exceptional panoramic views
  • An outstanding ‘home and income’ lifestyle proposition
  • Excellent rural trading location on the North Coast 500 route
  • Well-presented public areas with 6 comfortable en-suite letting bedrooms and spacious 2-bedroom owner’s accommodation
  • Presents new owners with potential for significant business development
Description

The Drumbeg Hotel benefits from a stunning and tranquil trading location in a charming setting. The business sits in an elevated position within the small village of Drumbeg overlooking some of the most rugged terrain in the British Isles. The remoteness of the hotel attracts a broad range of clientele who take to the Scottish Highlands to enjoy its natural beauty.

The Hotel offers the three main income streams being beverage sales, catering and guest accommodation. Accommodation sales are mainly generated from tourists in the season from Easter to September who largely pre-book. Some accommodation income is also generated through local and business-to-business guests. There is also an element of passing trade. The dining room is well presented and is popular with tourists. This well-appointed and most comfortably furnished facility, with views to Loch Drumbeg, is well utilised for suppers providing a relaxed cosy experience. The present owners choose not to open at lunchtimes but new proprietors who wish to develop the food trade could take advantage of this opportunity.

The current proprietors operate the hotel on a seasonal basis through personal choice. They undertake the lion’s share of the work themselves with some casual help. There is therefore scope to develop trade further through the provision of an extended service in the shoulder months. However, it may be considered a major attraction of operating in this locality that the hotel attracts sufficient business during the busy main trading period to afford a quality of lifestyle associated with seasonal trading patterns.
Reason for sale

The vendors purchased the property in June 2016 and it has provided them with an excellent home and income. During their tenure they have improved the fabric of the building providing a great platform to develop the business further. The vendors believe that new owners who are prepared to invest in the business could develop the hotel further making it a landmark business and destination location. It is the owners wish to retire from the hospitality industry which places this attractive business on the market.
Trade

The business operates mainly seasonally, opening from April to October, and only opens 5 days a week. Over the summer months the customer base is mainly drawn from the many tourists who visit and travel on the NC500. The business also draws in a high level of repeat custom and is highly commended on numerous visitor review websites. During the off-season months, the business is closed, including the bar. Drumbeg Hotel offers flexibility both in terms of the operational possibilities and physical layout. The business could trade as a café with rooms, restaurant with rooms, small hotel or on a bed and breakfast basis only. The licensed wet sales and evening meals provide additional income streams and could be developed further.

The current owner’s efforts have generated a well-established business with a strong trading reputation. Drumbeg Hotel benefits from a modern website with a freetobook feature. They have a good social media presence and utilise a number of portal websites such as . The vast majority of room occupancy is pre-booked and forward bookings are always at a high level.
Location

The West Coast of Scotland is famous for its spectacular countryside, rugged mountains, stunning coastline and beautiful beaches. The idyllic scenery and open spaces combine to make the area highly popular with those seeking a relaxing holiday in the Scottish Highlands. Drumbeg is a well-known tourist destination in its own right with unspoilt views of the surrounding mountains and Loch. Its rugged backdrop appeals to a wide range of tourists and outdoor enthusiasts. The tranquil setting of this popular destination means that in the summer months there is a regular stream of visitors.

The North West Coast of Scotland attracts a great number of visitors with its enchanting scenery and abundance of wildlife. Many take advantage of the challenging hill and loch walks in the region including the iconic Suilven, the world famous Stac Pollaidh and Ben More (Assynt), one of the most northerly of the Munros. Canisp, Conival and Quinag are just some of the other celebrities of the hillwalking world which are close by. Other visitors capitalise on the excellent river and sea fishing. The more sedate sightseer may visit the many places of historic and cultural interest. The region is popular with those who wish to undertake touring holidays. Close by are the towns of Ullapool and Lochinver which have schooling, social and welfare services.
The property

The hotel is arranged over two floors with the original building dating back to the mid-1700s with modern and sympathetic extensions. The original building is of stone construction with other aspects being timber frame and block construction. The roof is profiled metal sheet. The property is double glazed.
Public areas

The hotel’s main entrance opens into a vestibule and thereafter into a relaxing lounge area set with soft furnishings; this seated area has beautiful views to the Loch. A raised area provides access to the reception hatch and onwards to the lounge bar which has two distinctive areas; one with a pleasant wooden bar with well-stocked gantries and the games room with a hotel owned pool table. Off the lounge bar area are ladies and gents’ washrooms. The dining room is set to the left of the reception area and is also defined by two distinct areas. The main dining area has double aspect windows with wonderful scenic views, an attractive solid fuel fire and seats for circa 14 diners. The second aspect of the dining area is a cosy room which has modern soft furniture suitable as a comfortable pre-dinner drinks area or relaxed after meal coffee space. There are additional washrooms off the reception hallway. All public areas are presented in great walk-in condition but new owners may wish to place their own stamp on decor etc.
Letting bedrooms

The hotel has six en-suite letting bedrooms. The rooms have ample storage and are well-appointed with TVs and hospitality trays.

The rooms located on the ground floor are configured as follows:

Room 1 - Twin bedroom with en-suite shower and soft seating

Room 2 – Twin bedroom with en-suite shower and soft seating

Room 3 - Double bedroom with en-suite shower and soft seating

Room 4 - Double bedroom with en-suite shower and soft seating

The rooms located on the first floor are configured as follows:

Room 5 - King-size (zip and link) bedroom with en-suite shower and soft seating area

Room 6 - Double bedroom with en-suite shower and soft seating area
Finance and legal services

ASG Commercial Ltd is in touch with a variety of different lenders who can provide specialist finance. We will be delighted to discuss your financing requirements with you and make an appropriate introduction where appropriate. We also have many contacts in the legal profession who can assist in all legal matters arising.
Service rooms

The hotel has a tidy, well-equipped kitchen with a full commercial catering capability and vented extractor system. The kitchen is centrally located which is ideal to support food service to the bar and dining room. There is ample kitchen support areas and storage including laundry, beer cellar and spirit store. The hotel has an extended attached garage with a laundry facility to its rear; the garage is used as a workshop and store.
Services

The subjects benefit from mains electricity, water supply and drainage. There is oil fired central heating. The building is double glazed and has a hardwired fire alarm system.
The subjects are located within the village of Drumbeg on the main road. There is car parking to the front of the hotel which can accommodate 12 standard vehicles. There is a decking area to the side of the building with seating to the rear of the subjects.
EPC rating

The EPC ratings for the hotel is G.
Accounts

Full accounting information will be made available to interested parties subsequent to viewing.
Title number

The property has a title number of STH950.
Price

Offers over £465,000 are invited for the heritable property complete with goodwill and trade contents (according to inventory). Stock to be sold at independent valuation.
Offers

All offers should be submitted in writing to ASG Commercial Ltd with whom purchasers should register their interest if they wish to be advised of a closing date, should one be set.

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