One of Newcastle’s biggest hospitality operators has announced plans to expand its footprint after acquiring new sites, including two hotel developments.
Gainford Care Homes Ltd, which currently operates hotels including Newcastle’s Vermont Hotel and Vermont Aparthotel, plus 13 care homes, a nursery, a Japanese restaurant and bar and Bar Livello in the city, is making the move after posting a £1m increase in turnover for its hotels’ business in 2015.
The Chester-le-Street-based group acquired its third hotel in Newcastle city centre last year and plans to have the property up and running by summer 2017.
Gainford also snapped up Grainger House earlier this year, and is poised to start work converting the property into a 70-bed hotel, which it plans to aim at the mid-range market.
Planning permission has now been granted to create the hotel, which is yet to be named, complete with bar and restaurant and with a scheduled opening date for next year.
The announcement comes as the group posted strong trading figures for 2015, with turnover up 9.3% from £20.5m to £22.5m.
The major refurbishment work that was undertaken at the hotels resulted in a profit of £830,000, while the group expects this to improve further as turnover increased by £1m.
The new hotel will join the Vermont Hotel and Vermont Aparthotel in Newcastle, plus the Great Victoria and the new city centre hotel as the fourth in the Gainford portfolio.