Set in an 11-acre woodland just outside Aberdeen, the five-star Marcliffe Hotel has hosted everyone from pop stars to prime ministers over the years.
But despite widespread acclaim as one of the country's best places to stay, it is to shut next year and be replaced with offices.
Owner Stewart Spence has agreed a deal with developer Gibson Mcartney Ltd to replace the North Deeside Road venue with a high-end office complex.
Mr Spence, 66, said it was time to go out on a high and retire after more than half a century in the business.
He said: "This hotel is successful because we have great people working here.
"By next year, I will have worked for 52 years. It is the right time for me to retire. The last year has been the best, and I would like to go out at the top."