Council purchases Sleaford hotel for nearly £1.5m

The hotel is just one of two in the area which has more than 10 rooms

A hotel in Lincolnshire has been sold to North Kesteven District Council (NKDC) for just under £1.5m.

Purchasing the Carre Arms Hotel in Sleaford would "expand the local visitor economy", the district council said.

The three-star hotel is only one of two in the immediate area with more than 10 rooms.

A full council meeting on 29 February finalised the decision.

The hotel and restaurant on Mareham Lane has been run for over 20 years by the owners who are retiring.

A fund of about £1.5m has been put in place by the authority to cover acquiring the site, legal fees and undertaking refurbishments.

Chief executive of NKDC, Ian Fytche, said the potential to grow the visitor economy in Sleaford was not something the council "could afford to pass over".

He said: “For more than 12 years we have recognised the need for expanded hotel provision in order to meet existing and growing demand for business and visitor accommodation, but that is something that the private sector has not been able to provide."

'Good investment'

Mr Fytche said customers and employees of the hotel and restaurant would see "no immediate difference" to its operation.

He added: “Along with the retiring owners, who have run a successful business for more than 20 years, we thank them for their goodwill both now and over the years in providing a much-needed multipurpose venue in the heart of Sleaford.”

Chief financial officer at NKDC, Russell Stone, said: "It is a property that had been on the market for a little while and there was a danger that it could be lost to the local area.

"We have already seen an increase in bookings since we've taken the site on. We are really positive about it and think it has a lot of potential.

"It will be a really good investment for the council and residents of North Kesteven."

Mr Russell said funding for the project had come from a government pilot scheme and was secured about two years ago.