The three-star Westfield House in Leicester, which last month ceased trading under the management of Delight Hotels, has been sold. Hotelier Jay Badiani has acquired the 48-bedroom business for an undisclosed sum.
Will Thomas of property agent Fleurets, which brokered the deal, said: "The hotel came to a rather abrupt end last month, but is now under new ownership and due to reopen shortly. The sale to an existing hotelier just goes to show how confidence is now returning to the industry and marks yet another sale to an existing operator who can evidently see the opportunity to turn certain opportunities around".
Guests at the hotel lost thousands of pounds in advance payments when the hotel closed last month, and staff were also left unpaid. A spokesman for Delight later said that all staff had been paid the salaries they are owed, but declined to comment about repayment of deposits and other outstanding debts to guests.
Westfield House hotel was one of eight leasehold hotels that were previously operated by a company called Brompton Hotels. When Brompton Hotels went into administration in January, the administrators, UHY Hacker Young, appointed Delight Hotels, a new company set up in December 2012 to run the properties.