Posted on 19 May 2014
Lace Market Hotel, the boutique hotel located in Nottingham claiming pride of place in the heart of the city’s vibrant Lace Market area, has announced that it will close as of today (19.5.14).
Formerly a Georgian townhouse, the grade II listed building refurbished to an exceptionally high standard was regarded as one of the best hotels in Nottingham.
Administrator Dean Nelson of Smith Cooper began a marketing process in order to find a buyer for the 42 room hotel. Despite a number of parties expressing an interest, today Mr Nelson revealed efforts to secure a buyer for the business and assets as a going concern had not been successful.
Mr Nelson, head of business recovery & insolvency at Smith Cooper said: “The future of the Lace Market Hotel has been uncertain for the past five months as the ongoing financial position continued to be challenging.
“We had intended to sell the business but unfortunately the level of interest for purchasing the goodwill was minimal. As such, it is unfortunate that the hotel will now be closed with effect from today.”
The Lace Market Hotel was part of the Finesse Collection – a group of four East Midlands hotels. Other hotels in the Finesse group are unaffected; these are The Lion at Belper, Donington Manor at Castle Donington and the Cathedral Quarter Hotel, Derby.
Director of the company James Blick said: "We are devastated we have got to this position and I would like to extend my sincere personal appreciation to everyone involved for the contribution they have made over the years to make the hotel a success.
“Every effort to safeguard the future of the Lace Market Hotel has been made but unfortunately our offer was not in line with the needs of the charge holder. In short, our offer was not accepted.
“We will be doing everything we can to help our 42 former employees find alternative work. We will be supporting them wherever we can at this distressing time.”
Mr Blick added that suppliers to the remaining hotels within the Finesse Collection would not be affected. Couples due to have weddings at the hotel are currently being contacted and offered the Cathedral Quarter Hotel hire location free of charge."
Staying guests booked in will be offered accommodation at other Finesse hotels – or at another Nottingham hotel.
Mr Nelson has accepted a bid for the freehold property and chattel assets from third party investors John and David Higginson who are the freehold proprietors of 29-31 High Pavement, as part of the current hotel.
John Higginson said: “Our intention is to close the hotel for a period of time while refurbishment is undertaken.”
The company also operated the Cock and Hoop public house, Merchants Restaurant and Saint Bar, all of which will be closed as part of the refurbishment, but the remainder of the Finesse companies will continue to trade as normal.