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Hotel on the market

Monday 3 December 2012 5:00

A £3.5m sale price has been put on the four star Grey Street Hotel in Newcastle, which called in administrators in October.

The boutique hotel appointed administrators Graham Newton and James Bates from BDO, with the hotel continuing to run as normal with a view to achieving a sale as a going concern.

The sale of the hotel is being handled by Julian Troup, head of UK Hotels Agency and Peter Bean, director of Colliers, on behalf of the administrators.

“Grey Street is a first rate city centre hotel business with substantial rental income in addition to its hotel income,” said Peter Bean. “We anticipate a great deal of interest from both operators and investors.”

The city centre hotel has 49 bedrooms including three suites plus its own cellar bar and several meeting or function rooms.

The hotel is situated on prestigious Grey Street with its magnificent Georgian buildings and Theatre Royal and is in the ideal position for visitors wanting to be at the heart of the action with dining, entertainment and shopping all nearby.

The freehold sale also includes rental income from top bar and restaurant operator The Living Room, which leases part of the building.