A “profitable” hotel on Royal Deeside in Aberdeenshire, close to Balmoral Castle, has been put up for sale for around £1.25 million.

The sale of the 21-bedroom Loch Kinord Hotel is being conducted by Christie & Co.

The family which has owned and operated Loch Kinord Hotel for the last 26 years is “now selling to focus on other interests”, the property agent noted.

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Christie & Co said: “Located in the small village of Dinnet, in the heart of Royal Deeside, the profitable hotel backs on to the highly popular and picturesque Muir of Dinnet Nature Reserve with easy access to walk around Loch Kinord. The hotel is also near Balmoral Castle, and is a popular destination for families, tourists and royal enthusiasts.”

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It added: “Traditionally decorated throughout, the hotel features 21 stylish boutique ensuite bedrooms, a spacious function room, [and] a restaurant and bar area, as well as three bed staff accommodation.”

Christie & Co noted the hotel “also has the benefit of eight self-catering lodges which are available separately”.

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Christie & Co hotel director Gary Witham, who is handling the sale, said: “After 26 years of stewardship, the family have decided to sell to focus on other business interests and let a new buyer take forward this well-invested, profitable boutique hotel in the heart of Royal Deeside.”

The hotel is described by Christie & Co as “profitable with further potential”.

Loch Kinord Hotel is on the market at a guide price of £1.25m for the freehold interest. The hotel’s listing on online travel agency Booking.com’s website says: “In the rustic village of Dinnet in the heart of Royal Deeside, this family-run hotel is ideal for exploring the Highlands, and tourist and sporting activities in Aberdeen and Aberdeenshire.

“On the edge of the Scottish Highlands, this Victorian hotel is the perfect base from which to explore the natural beauty of Scotland. There are many activities close by, including golf, skiing, fishing and stalking. Glenshee and the Lecht, two of the five Scottish ski resorts, are both approximately 30 miles from the hotel.”