Beales hotel in Hatfield, Hertfordshire, has been sold to HG Construction after 56 years under the Beale family.
The 53-bedroom property has been sold following a significant downturn in business due to Covid-19. There will be a redundancy process for staff following the sale. The family still owns the 59-bedroom West Lodge Park hotel in nearby Hadley Wood.
Andrew Beale, managing director of Beales Hotels and the eighth generation of his family's business, said: "This is a sad moment in our company history and brings to an end 56 years of trading in Hatfield, but the significant downturn in our business and the curtailment of business travel and large-scale conference and banqueting due to the coronavirus pandemic is unprecedented, and a severe recession is forecast.
"This means that unfortunately the company will need to make redundancies, and staff employed at Beales hotel will each be contacted separately to discuss the redundancy process. This is sad and difficult news, but the coronavirus pandemic has brought much of the hospitality business to its knees and with no signs of any recovery any time soon."
The family business was started by John Beale in 1769, the first of the family to venture into catering and hospitality business with a small bakery shop and horse and cart on London's Oxford Street. The family operated West Lodge Park under lease for more than 65 years before acquiring the freehold of the site in 2012.