A HISTORIC hotel in Perth, based in a converted watermill dating from the 15th century, has been sold after being marketed from a guide price of £2.25 million.

The Mercure Hotel has been sold on behalf of a private client to S Hotels and Resorts, owner of Jupiter Hotels, in a deal brokered by Savills.

Located in the heart of the city with views of the City Lade, the hotel comprises 76 en-suite bedrooms, a restaurant, car and conferencing facilities. It has car parking provisions for 50 cars, with the total site spanning 1.01 acres.

Dirk De Cuyper, chief executive of S Hotels and Resorts, Thai-based hotelier owner of Jupiter Hotels, said: “The Mercure Perth is a key location and an important part of our portfolio in the UK, we are delighted to have recently acquired the headlease. We will now be embarking on a refurbishment programme that will include the 76 guest bedrooms and the public areas of the hotel.”

Steven Fyfe, associate director in the hotel capital markets team at Savills Glasgow, said: “Having operated from the location for 23 years we are delighted to complete the sale of the long leasehold to Jupiter Hotels. Perth is an established tourist destination which has benefited from the rise of staycations within the UK, making this an extremely attractive acquisition.”

Jupiter has a portfolio of around 30 hotels in the UK trading under the Mercure and Holiday Inn brands.

The property occupied by the Mercure Hotel has an unexpired long leasehold term of 46 years.