Surya Hotels has increased its portfolio of regional hotels to eight after acquiring the 47-bedroom George hotel in Colchester.
Management of the 500-year old former coaching inn, which had previously been owned by Grangeside since 2000, will now switch from Bespoke Hotels to Legacy Hotels, which operates the rest of the Surya portfolio including Hallingbury Manor, near Stanstead Airport; the Kingscliff hotel, Holland-on-Sea, Essex; and the Duke's Head, King's Lynn, Norfolk.
Suki Dulai, managing director of Surya Hotels, said that there had been concern that the George hotel was going to sold to an asset management company, which would have the threatened the jobs of the 50 members of staff, who will now all retain their jobs. The plan is now to undertake "significant investment" in the hotel to return it to its "former glory".
"The George is a very emotive place for the people of Colchester. It is one of the most stunning buildings on the historic High Street which has an amazing sense of heritage, not to mention a fantastic place to meet, eat and stay.
"It would have been a travesty for the town if this hotel had fallen into the hands of an asset management company - especially given the fact it is such a highly successful business.
Denise Earl, the general manager of the George hotel, added: "We have had five changes of management in the past 10 years so I think the staff are really looking forward to working alongside a steady and ambitious new owner who has expressed the intention to invest in the venue and take it to the next level.
Surya Hotels is part of the Flying Trades Group, which is run by brothers Harry and Suki Dulai with an annual turnover of £100m. It encompasses Surya Foods, a supplier of ingredients from Poland, South Asia, Africa and the Caribbean.