Hundreds more hotel rooms on the way
A SURGE in the number of hotel developments in Inverness has been welcomed by business and tourism bosses who say it is a clear sign of confidence in the city.
The number of beds in the Highland capital is set to increase significantly, with several projects already under way and other potential ventures being explored.
A vacant office block in Church Street, formerly used as a Highland Council service point, is being eyed up by several interested parties, including one who is interested in turning it into a boutique hotel.
It follows recent revelations that a luxury hotel operator is being sought to develop a site at Inverness Campus.
Other projects in the city include the £6.4 million transformation of the Maple Court Hotel by the River Ness into a four-star, 50-room hotel with restaurant, the development of a 54-bedroom Travelodge in Academy Street at cost of £4.4 million and the upgrade of the Winston Guest House in Ardross Terrace, acquired by the Palace Hotel and Spa next door.
Business leaders say the various developments will help to tackle a shortage of hotel beds in Inverness and provide economic benefits for the wider area.
Scott Armstrong, regional partnerships director at VisitScotland, said the potential developments showed confidence in the growth of the tourism industry in Inverness.
“A number of great events are taking place in Inverness and surrounding areas again this year, including the Etape Loch Ness and Highland Military Tattoo and the North Coast 500 is growing in popularity, so it is great to see investment in the infrastructure of the city keeping up with demand,” he said.
“Tourism is leading economic transformation in the Highlands through redevelopment and expansion of existing products, innovation and bringing new opportunities to the visitor economy.”
Stewart Nicol, chief executive of Inverness Chamber of Commerce, said the infrastructure projects – on the back of the £315 million city deal – were “extremely positive” news, especially as demand for top-quality hotel beds regularly outstripped supply.
“It illustrates very well just how buoyant the hospitality sector is in Inverness,” he said. “The developments are in the city centre which is really good for cafes, restaurants, bars and for retail.
“It is fantastic for the city and for the wider Highland economy.”
One potential development is the conversion of the four-storey Bridge House in Church Street into a boutique hotel. The building was used until last year by the council as a service point on the ground floor and offices upstairs.
Owned by a London pension fund, it is now being marketed for sale or to let by Shepherd Commercial, of Inverness.
Sandy Rennie, a partner in the firm, said there had already been much interest from boutique hotel and serviced apartment operators but not from anyone wanting to develop it as a city centre office.
“It is a good city centre location,” said Mr Rennie, who was confident of seeing movement on a deal within three months.
“The tourist market in the city is quite strong. Inverness, historically, has had high occupancy rates and is now number one in Scotland and not far behind London.
“Also, the euro is quite strong against the pound. It is quite a positive time for the city.”
Mr Rennie said the inside of the building presented a blank canvas for a hotel or apartment developer but acknowledged the outside was not the most attractive.
“Amazing things can be done to make it look nicer – you only have to look around the corner at the apartments in Bridge Street,” he said.
On the other side of the river, refurbishment is ongoing at the Winston Guest House after being acquired by the Palace Hotel. Work to expand it from 18 to 21 executive bedrooms is expected to be completed in time for the busy Easter period.
Mark Scobbie, the hotel’s general manager, said last year had been “fantastic” for business and hoped this year would be the same.
“There are a lot of events in Inverness and that certainly swells the weekend market,” he said. “Eden Court also does a good job bringing in people.”
Work on the Travelodge hotel – its third in Inverness – is expected to be completed by late this year while the Patio group, owner of the Kingsmills Hotel, is awaiting a decision on plans to transform Maple Court Hotel in Ness Walk.