Selling a Blackpool hotel – here’s what you need to know before getting the agents in!
If the time has come to hang up your apron and keys, there’s work to do before you get the estate agents in. I speak from experience with this as my neighbour placed her hotel on the market at the same time I decided to sell mine. Her approach to selling the hotel was very much a spur of the moment idea. She one day had a yearning to move back to her home city – by the end of the week she had arranged two estate agent valuations!
My decision to sell was more carefully considered. My choice to sell up was based on wanting to move into a ‘normal’ lifestyle with a regular 9 to 5 job… that didn’t go quite to plan! But I knew that in order to obtain the best possible valuation and asking price, I had to put some preparation work in.
First things first – consider the points your prospective buyer will see as a positive. It goes without saying that a nicely presented property is essential but you want buyers want to know as much as possible.
I made a list of my rooms and detailed on it the work and improvements I had completed in each one. For instance;
Room 2 – Family room. Double bed and bunks. New double mattress, new bunk bed frames and mattresses. All bedding new within the last six months. Bathroom retiled and new shower fitted two years ago. Redecorated last year.
Room 6 – Double. New divan bed two years ago. Bedroom redecorated (new wallpaper, all woodwork painted) three years ago.
First floor landing – Carpet replaced last year.
Kitchen – Range cooker serviced annually. Fridge freezer purchased with extended warranty two years ago.
The list for my hotel was quite extensive as I updated equipment and fittings on a frequent basis. I kept a few copies of the list to hand to interested viewers – I don’t know of any other vendors who do this. But put yourself in the shoes of a potential buyer – they may have viewed several hotels within a few days. You need to make sure that your hotel is the first one they remember.
In order for an agent to estimate an asking price for your hotel, they will need to know your turnover. This will usually be published on your hotel’s publicity brochure therefore it needs to be an accurate figure from your last set of accounts.
If you have made any alterations to the property which required any kind of permission or checks from the local council, you will need the paperwork to hand. My neighbour who impulsively listed her hotel for sale had an issue which delayed the sale of her property by two months – luckily her buyer was not in a chain other wise this could have gone horribly wrong. She had accepted an offer and solicitors had been instructed. Her buyers solicitor had obtained a copy of the ground plans and noticed that she had turned one of the small bedrooms into a shower room. She didn’t need planning permission for it but with things like bathrooms, the Building Control department need to ensure that the work is completed to a competent standard. Her bathroom had been fitted by a plumber who was on the council’s Safe and Sound list of approved traders, therefore there weren’t any issues. Had it been fitted by local chancers Bodgett and Scarper, the sale process would have ground to a complete halt.
With the above points in place, you are now ready to call the the agents for a valuation. I would recommend asking for three valuations. In Blackpool, there are a number of established agents. Kenricks Commercial and Kays are well established in the town. I bought and sold my hotel with Kenricks – I have no hesitation in recommending them.
Assuming that the estimated asking price is roughly the same, your choice of which to appoint could be based around;
- The agents fees
- Recent completed sales – they may have details of buyers who were interested in a similar hotel to yours but it sold before they could obtain finance
- Their website – have a look at their site – is it easy enough to navigate, is it clear and simple to use.
Once you have made a decision and instructed an agent, you will receive a pre print copy of your property brochure. Check it very carefully. Ensure you advise your agent as soon as you can if there are any mistakes or amendments. Check the website regularly to ensure your photos look bright enough.
Your agent’s job is to generate interest in your hotel and introduce interested parties. Once the viewing appointment is set, the rest is up to you. Obviously, you don’t want to come across as an over enthusiastic sales person. But you do need to put some effort in – I was amazed when I was viewing hotels. Some of the hoteliers were just not interested in selling the place. They hadn’t tidied up – in some cases, it seemed that the cleaning cupboard had long been forgotten about.
Impress them! Offer a brew, have your list ready, show your hotel with some pride in your voice!
You can advertise your hotel for sale on ‘Own A Hotel’. A fact packed, info fuelled ad in your own words with pics! All the info a potential buyer wants to read about, all the detail you can’t include on your estate agent brochure with a direct link to your listing on your agent’s website.
Get in touch for details using our Contact Us form.