A struggling hotel in Aberdeen has been bought over safeguarding 56 jobs.
The Carmelite Hotel in Merchant Quarter has experienced “cash flow difficulties” after its turnover plummeted over the last two years.
However, after entering administration, the business and its 53-bedroom hotel has been sold as a going concern to Concordia Hospitality Limited.
Administrator Michelle Eliot, of Leonard Curtis Business Rescue and Recovery, confirmed the sale and said the hotel will stay open and all 56 employees will be retained.
In a statement, she said: “Unfortunately, the business experienced a significant reduction in turnover over the last two years – principally due to the downturn in the oil and gas sector – which resulted in cash flow difficulties.
“However, I am pleased to confirm that, immediately after our appointment, a sale of the business and assets of the hotel was concluded.
“This has resulted in the Carmelite Hotel – which is a popular venue for weddings, functions and events – remaining open and all 56 employees retained, which minimises disruption to customers.
“We’re thankful to staff and guests for their ongoing support at what has been a challenging time.”