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Three hotels part of Scottish-based travel company up for sale to pay off creditors

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Three hotels that are operated by a vulnerable Scottish-based travel company have been put up for sale as part of a proposed CVA that will see the wind down of the business.

Hart Hotels Limited comprises Glenmorag Hotel in Dunoon, Garve Hotel in Garve, and Mackay’s Hotel in Strathpeffer, and is owned by David Urquhart Group.

Hart Hotels is one of three firms in the Group, alongside coach operator David Urquhart Travel and David Urquhart Transport, which are now being wound down under a CVA headed up by Donald McNaught and Matt Henderson of Johnston Carmichael.

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The sale of the hotels is expected to generate enough funds to repay creditors in full.

A spokesperson for the David Urquhart Group directors said: “The ongoing coronavirus crisis has had a dramatic impact on all business sectors, but especially on those within the travel and tourism industry where it is impossible to establish when operations will return to normal.

“The directors have made the decision, in the absence of interested parties, to wind up the coach tour business in an orderly manner over the next few months.

“This is not a decision which has been taken lightly. The coach tour company has served loyal customers for more than 37 years, throughout the length and breadth of the United Kingdom and Ireland, and has been a prominent figure within the leisure and hospitality industry.”

Mr McNaught said: “Having used the CVA process to successfully protect businesses in the past, I see it becoming an invaluable tool in the current crisis. A CVA can allow business owners to seek protection from creditors to buy valuable time in which to implement plans to help turn their business around or, at the very least, seek to maximise the return to creditors.”

David Urquhart Sky Travel, which specialises in beach holidays and European city breaks, is not part of the CVA process and continues to trade.

Tags : administrationCVAfinancehotelsScotland
Zoe Monk

The author Zoe Monk

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