120 jobs at risk as hotel owners go into administration
THE company behind the four star hotel Raithwaite Hall have called in administrators.
York-based Skelwith Leisure (Raithwaite) Limited, part of the larger Skelwith Group, appointed joint administrators on 22 July 2015.
The company owns and operates Raithwaite Hall, a hotel located between Sandsend and Whitby set in 100 acres of North Yorkshire countryside.
The hotel is continuing to trade under the control of the joint administrators whilst a buyer is sought, but it is all “business as usual.”
Jonny Marston and Howard Smith, of KPMG, were appointed joint administrators. Mr Marston, KPMG Restructuring partner, said: “Our initial priority is to ensure that the business trades as normal, with clients being unaffected and their commitments being honoured, while we assess its financial situation and consider our next steps.”
Parent company the Skelwith Group has had further traumas this year, as its Flaxby Hotel development was caught in a legal battle over land usage.
The group’s company Skelwith Leisure, which is behind the Flaxby development went into administration earlier this week.
Original plans for the £100m development, intended to be a hotel and golf resort, were changed by the Skelwith Group to include 2,500 homes in a village development.
Family farmers the Armstrongs who sold the land for the 303-room Flaxby Country Club were less than amenable to this change of plan, as Skelwith is yet to pay the full £7m sale price for the land. They have reportedly paid just £3.5m for the site so far.
