The Grade II-listed Bron Eifion country house hotel in North Wales has been bought by JLM Leisure, a family business making its first venture into hotels.
The three-star property occupies five acres of land in Criccieth on the Lleyn Peninsula in Gwynedd and is within easy reach of Snowdonia.
It was built from local granite in 1883 as a summer residence for wealthy slate mine and shipping entrepreneur John Greaves
Along with 19 en-suite bedrooms to sleep 38 people, the hotel contains a Great Hall with a bar that can hold up to 30 people, a residents' lounge that doubles as a 30-capacity function room, and a 40-seat restaurant that can be used as a function room for up to 90 people.
A spacious owners' bungalow offers five bedrooms, three bathrooms and private gardens.
In the year to March 2004, the business turned over £578,000.
The Manchester office of Colliers Robert Barry sold the freehold for a sum approaching the £1.75m asking price on behalf of the sellers, Alan and Carole Thompson.