A “high-performing” hotel on an island described as one of Scotland’s most popular tourist destinations has been put on the market.

CBRE has been instructed to handle the sale of a four-star 21-room hotel and additional self-catering property on the island known as “Scotland in miniature”.

The agent is presenting The Douglas Hotel and The Shorehouse, both overlooking Brodick Bay, enjoying sweeping views across the Firth of Clyde, and a short walk from the Calmac ferry terminal.

The island, with a population of 5,000, has around 400,000 visitors a year.

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“The hotel was purchased in 2008 by the current owner, who invested £8m refurbishing the hotel to a hugely impressive standard, beyond what is normally experienced on the Scottish Islands,” the agent said.

The Herald: Clockwise: The shore, the view, Douglas Hotel, The ShorehouseClockwise: The shore, the view, Douglas Hotel, The Shorehouse (Image: CBRE)

“The result is a visually impressive red sandstone hotel situated on a prime 1.8-acre site on the sea front at Brodick, widely acknowledged as the capital of the Isle of Arran.

“The high standard of the hotel has been subsequently recognised with the Hotel being voted The Scottish Boutique Hotel of the Year in 2020, whilst it regularly receives five-star reviews on all large booking and travel sites.”

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CBRE also said: “The Douglas Hotel is conveniently located overlooking Brodick Bay with easy access to the ferry terminal generating significant passing trade, particularly for the food and beverage services.”

It has a 50-cover restaurant, 60-seat bar and large outdoor terrace that accounts for over 60% of turnover.

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The restaurant and bar are popular with both hotel guests and visitors and generate significant business for the hotel, whilst providing a strong income stream from locals during the off-season.

The opportunity includes the Shorehouse, a 13-bedroom self-catering property “suitable for the more budget-conscious traveller, also available via separate negotiation”.

Included with the hotel is The Bunkhouse staff accommodation - a key selling point for retaining hospitality staff on the Scottish Islands.

Also available for sale separately is The Shorehouse, which has 13 self-catering apartments, a reception and a lounge area, and is popular with families and groups of friends visiting the Island to explore its long sandy beaches, castles and seafood restaurants.

Kathryn Bennett of CBRE, who is handling the sale, said: “This is an incredible opportunity to secure a beautiful hotel on a prime 1.8 acre site on one of Scotland’s most loved holiday islands, which attracts 400,000 visitors a year.

“The hotel is highly rated by guests, many who return year after year, and the bar and restaurant are very popular with both hotel guests and non-staying guests, accounting for more than 60% of the annual turnover of £2.3m.”

CBRE said the original building was constructed in 1782, providing accommodation for acquaintances of the Duke of Hamilton and was converted to a hotel in 1852.

 It was also the base for prospective submarine commanding officers while completing their rigorous training on the Royal Navy’s "Perisher Course".

CBRE said the hotel is being marketed at a new price of £2.9m.