Historic hotel being sold for £1 by property developer but there is a catch

A property tycoon has been forced to put an iconic Grade II-listed gem on the market for a mere £1 after sinking an eye-watering £3.2 million into its failed restoration. Na'im Payman, who acquired The Royal Hotel in Kettering, Northamptonshire in December 2020 for £2.2 million and poured another £1 million into refurbishments, has hit a financial wall with his ambitious plans to convert the site into a wedding venue, restaurant, nightclub, and cafe.

Prospective buyers are buzzing over the "unprecedented" chance to snap up the iconic building, steeped in history, for just a quid, despite there being no minimum reserve price set. The hotel, which has played host to luminaries such as Queen Victoria and Charles Dickens during its illustrious 147-year history, is now up for grabs. Included in the sale is the main hotel structure, boasting a grand ballroom, a glass-domed billiard room, a former bar area, and multiple event spaces, reports the Manchester Evening News.

Yet, any new proprietor must be prepared for a hefty outlay, with warnings that at least an additional £1 million will be needed to fulfil Mr Payman's original renovation vision.

Mr Payman stated: "It is with great regret that we're selling the Royal Hotel in Kettering.

"This hotel has held a particularly special place in my heart, given its prominent role in the town and the deep affection the local community has for it."

The entrepreneur expressed deep regret, saying: "I had truly hoped we would be able to restore it in a way that honoured its legacy and served as a catalyst for the revitalisation of Kettering's town centre."

He revealed the extent of his investment, saying: "To date, we have invested nearly £1m in refurbishing parts of the property, identifying features of historical significance, preparing applications and drawings to bring our vision to life, and fine-tuning the branding and digital identity."

Highlighting community engagement, he added: "This included plans for a boutique cinema-especially timely following the recent closure of the Odeon-and in response to strong community demand for such a facility.

"The property showed great promise as a popular venue for weddings and events, complete with a mini-spa, bridal salon, co-working spaces, cafe and restaurant."

However, he said financial hurdles proved insurmountable. He said: "Unfortunately, despite my best efforts over the past year, I have been unable to secure the remaining funds required to complete the project.

"We had an investor willing to lend £3 million but they pulled out, so we have run out of time and money."

With no other options left, he announced: "As a result, I have had to make the very difficult decision to sell.

"I sincerely hope that someone who shares our vision for the future of the Royal Hotel will step forward to purchase the property and carry the project through, rather than see it converted into apartments."

In a gesture of goodwill, he concluded: "To support this, we are more than happy to share all drawings and heritage reports we have developed, in order to assist the new owners in delivering this project both swiftly and successfully.

"I anticipate it would still cost at least £1 million to see the vision through and hope potential buyers will see the amazing potential it still holds."

The Grade II listed Royal Hotel has boasted an impressive history since its opening at the start of the 18th century - Charles Dickens graced its halls as a reporter for the Morning Chronicle during the Northamptonshire elections in 1835 and Queen Victoria's visit in 1844 prompted a name change, after she famously paused in room 12 on her journey to Stamford, Lincolnshire.

Estate agents Howsold have heralded the sale of the hotel as "a truly unique opportunity to acquire and re-imagine one of Kettering's most iconic buildings."