The management of the five-red-AA-star, 80-bedroom Chester Grosvenor hotel is to be taken over by Bespoke Hotels.
The Grosvenor Estate, the company which looks after the business interests of the Duke of Westminster which includes the ownership of the hotel, has taken the decision to appoint Bespoke on a long leasehold basis, following the announcement that managing director Jonathan Slater will be retiring from the hotel at the end of March.
Jeremy Newsum, executive trustee of the Grosvenor Estate, said that despite the talent that exists within the management team, Slater - who has made "an extraordinary contribution not only to the hotel but to the city of Chester" - would be difficult to replace.
"We have therefore taken the opportunity to conduct a full review of our operation and concluded that taking this bold step is the right thing to do to ensure that the hotel is able to continue to play an important role in the city.
"Bespoke tailor their approach for each hotel so the Chester Grosvenor brand will continue and will be able to benefit from Bespoke's network of hotels. The trustees believe that being part of a group operation will be more effective than operating as a single hotel especially at a time when the hotel industry is becoming increasingly driven by technology."
Newsum went on to ensure that guests at the hotel - where the general manager is Paul Cookson - will continue to receive a high standard with the same quality of food and ambience remaining at La Brasserie and the Michelin-starred Simon Radley at the Chester Grosvenor fine dining restaurant
Robin Sheppard, chairman of Bespoke Hotels, added: "Bespoke is delighted to be working with the Grosvenor Estate and the Chester Grosvenor. Our team will ensure there is business as usual and will continue to provide the superb service guests have always expected from the hotel and their stay, whilst also ensuring the business of the Chester Grosvenor benefits from the operational and marketing expertise Bespoke brings."
This will not be the first time the hotel has been run by a management company - on opening 150 years ago, the Chester Hotel Company was established to run the property on behalf of Richard second Marquess of Westminster.
Oddfellows, an 18-bedroom hotel in Chester, which has been operated by Chester Grosvenor since 2012, will not be managed by Bespoke. From the end of March, Oddfellows and the expansion of the brand, which will include a second 23-bedroom hotel currently under development in Cheadle, near Manchester, will be taken over by Jonathan Slater under his new vehicle Oddfellows Management Company.