The historic Royal Beacon Hotel in Exmouth is shutting its doors for good, succumbing to a “tsunami of increased costs” in the current economic climate. Over the weekend, guests were informed via email that their bookings post-closure would either be refunded or transferred to another hotel within the same group.
The Grade II listed establishment was acquired by the Richardson Hotel Group in 2017. The group, led by hotelier Keith Richardson, also owns Abbey Sands Hotel and The Grand Hotel, both located in Torquay, as well as Falmouth Lodges in Cornwall.
The Royal Beacon has been on the market for several months, with Savills estate agents handling the sale. Initially listed at £2.5million in February, the asking price has since been reduced to £1.995million.
Richardson Hotel Group is also looking to sell The Abbey Sands Hotel, which has been up for grabs since March and is currently listed at £1.95million. The Falmouth Hotel, initially listed for sale alongside The Abbey Sands Hotel with an asking price of £7.5million, has been snapped up by The Cornwall Hotel Collection.
In a heartfelt email to patrons, Mr Richardson announced the closure of his Exmouth hotel effective today, September 30. He assured those with reservations that they would be contacted within the week to arrange either a transfer to The Grand Hotel or receive a full refund, reports Devon Live.
The hotelier expressed deep regret as he explained the decision was due to the severe financial challenges plaguing the hospitality industry in recent years.
He stated: “It is with considerable regret that the directors of the Royal Beacon Hotel Ltd have decided to close the hotel permanently on Monday, 30th September 2024.”
He further reassured guests: “All guests booked to stay beyond that date are welcome to transfer their bookings, with no additional charges, to The Grand Hotel in Torquay, TQ2 6NT. We will ring all our guests to ask what they would wish to do. Alternatively we will refund all booking amounts requested during this coming week.”
Mr Richardson lamented the economic hardships facing his business, saying: “My hotel has suffered from a tsunami of increased costs along with all other hospitality businesses. We have got to the point where we cannot sustain our business in this current economic climate.”
He concluded with an understanding of the disappointment this news brings, but stressed its inevitability, inviting customers to contact the reservations department at (01803) 296677, selecting option 1 for further guidance and support.