Sadness as Bay hotel enters administration

A THREE-STAR Torquay hotel has gone into administration but is staying open until a new buyer can be found.

The stately 44-room Lincombe Hall Hotel, in Lower Woodfield Road, and its parent company Torbay Hotels Limited, will continue to run as normal under the supervision of Simon Thomas a partner at RSM Bentley Jennison, the administrators appointed by Abbey National PLC on July 1 to handle the hotel's administration.

Letters were sent to all known creditors last week and agents from the administrators are currently running the hotel.

Within six to 12 weeks reports to creditors and initial proposals will also be completed.

It is hoped a new buyer can be found quickly.

Mr Thomas said: "We are optimistic there will be lots of interest and we are looking for a quick sale of the business.

"Anyone interested in purchasing the hotel should contact my agents Colliers Robert Barry. In the meantime, the hotel will continue to operate under my supervision."

Staff say they were left completely in the dark about what was happening until bankers turned up.

One staff member, who did not want to be named, said: "We went into administration on Thursday after a year of six of us running a 44-bedroom hotel to the point of exhaustion.

"We tried to rally round the owners and help them, but we did not know anything about the hotel going into administration until the bankers turned up."

Staff say the administrators arrived on Wednesday and 'took over' the running of the place.

"Some staff have been there for 20 years," they added.

"It's been hell running the hotel with a small amount of staff."

Gordon Oliver, chairman of Torbay Hospitality Association said it was with 'great sadness' he learnt of Lincombe Hall's current situation, adding: "It is a family business and I am obviously disturbed something of this nature has happened.

"I think it does show tourism in Torbay does have its problems, that some of these problems haven't yet been addressed.

"We need to be more aware of the benefits tourism brings to both residents and tourists with the facilities we have here for all to enjoy."

In May last year the hotel was valued at £2.6million.

Peter Brunt, from Colliers Robert Barry, the agents appointed by the administrators to handle the sale of the hotel, said he and a colleague from their Plymouth office would visit the hotel this week to make a valuation.

He said: "We are advising the administrators for pricing and options for the hotel going forward."

On Friday guests were still checking into the Georgian hotel, which was built in 1822 and is currently full.

Inside the hotel there is a reception hall, a lounge bar, a residents' lounge, a 100-cover restaurant and a function room.

Leisure facilities include a tropical indoor pool, with an adjoining spa bath and waterfall, an outdoor swimming pool and an enclosed tennis court.