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Torbay Hotel Sales Boost Continues Alongside Tourism Investment

Torbay Hotel Sales Boost Continues Alongside Tourism Investment

Posted: Wednesday 27 March 2019

At a time of increasing political and economic uncertainty across the country, we’re already seeing global banks and car manufacturers taking steps to leave UK shores. But despite this, as we finish Q1 there’s something of a boom in the current commercial property market, particularly here in the south-west.

 

With an entire region so heavily reliant on the tourism industry, any economic riskiness can have huge consequences for our region and the local economy. But instead, we’re seeing a continuing, upward trend of sales across the county in both the licensed trade - where pub closures have slowed significantly - and the hotel industry.

 

Over the last five years, the English Riviera and Torbay has had and continues to see, major investment. Singapore-based property company, The Fragrance Group, have invested heavily into some of Torbay’s best known hotels - The Palace and The Corbyn Head hotels in Torquay, as well as The Park and The Lighthouse in Paignton.

 

Adding to that, a new 130-room Hilton Hotel is currently under development as part of a regeneration project in Torquay’s Torwood Street, while a second ‘latest generation’, 120-room Premier Inn is due to start construction later this year. And with the £10m investment going into Torquay seafront’s new Abbey Sands complex, the Bay area is on a steep upward trajectory and making a big impression on investors.

 

With 2018 sales ending on a high for us, the first quarter of 2019 has seen similar fast-paced and positive movement. Appetite and sales remain high across all sectors, but they’re being considerably outnumbered by robust sales in Torbay’s hotel industry and it continues to gather momentum.

 

Haytor Hotel ~ Located in the quiet, tree-lined area of Meadfoot, Torquay, this popular 12-room luxury Georgian hotel thrived on consistently high turnover and profit. Keeping many of its original features, the detached property had been extremely well decorated and appointed throughout with regular refurbishments.

 

With spacious and independent owners accommodation within the hotel, a property like this was always guaranteed to attract heavy interest. And with the hotel’s freehold hitting the market at just over £1m, viewings quickly turned to a completed sale.

 

Morley Guest House ~ The 7-room Morley Guest House, while smaller with a more contemporary theme, was another high interest, quick sale success. The substantial, three-storey, semi-detached property, believed to date back to c1865, had already undergone extensive refurbishment from its previous owners. And, though operating as a lifestyle business, has garnered robust turnover and profit during their tenure.

 

With the Morley’s excellent Google, TripAdvisor, and booking.com ratings and reviews, there was certainly great potential to build on its current trading position. Because of this, and its ability to offer new owners a readymade, turnkey business, this popular hotel - located just 10 minutes from the seafront - sold quickly with a freehold price of £395,000.

 

The P&M Paignton ~ The P&M Paignton RESIDENCE operates as a 5-star boutique B&B with an excellent reputation and impressive turnover as well as plenty of repeat custom. Extended, renovated, and extensively refurbished throughout, this eight en-suite room hotel sits just a short walk from the seafront, beach, and local amenities and attractions.

 

Thanks to the P&M’s healthy turnover, exceptional online guest ratings, and its rolling programme of internal and external refurbishments, everything combined to make this sale quick and easy. With its final freehold price of almost £400,000 being snapped up very recently, the P&M is now under new management and taking shape for the season ahead.

 

Beach House ~ A modern contemporary, 6-room guest house a minute from the seafront, has been refurbished and maintained to a high standard throughout. With spacious owners accommodation, breakfast room, and fully equipped kitchen, on the ground floor, stairs lead to six double and one

family en-suite letting rooms, all finished to a high standard.

 

Together with an extended private parking area for seven cars and an outside seating area, the freehold for Beach House has sold for around the guide price of £360,000. Now this thoroughly modern guest house looks set to continue offering warm and welcoming accommodation while its new owners maintain its success.

 

While these recent sales show just the tip of the current iceberg, it’s a real-time indicator that appetite  remains strong in this part of the world. And just as Charles Darrow is experiencing one of its best

opening quarters of recent years, we continue to be one of the region’s prime commercial property agents.