Signature Shankly, the property subsidiary of Signature Living's Shankly hotel in Liverpool, has gone into administration, though the hotel will remain open for business and will accept guests once current trading restrictions are lifted.
The 83-bedroom hotel, which is a tribute to the Liverpool FC manager Bill Shankly, is co-owned by Signature Living founders Lawrence and Katie Kenwright and Christopher William Shankly Carline, Bill Shankly's grandson.
Last year Signature Living announced plans to sell the hotel for £40m, but a deal didn't materialise.
Matthew Ingram and Michael Lennon of Duff & Phelps were appointed joint administrators Signature Shankly of on 9 April 2020 and will work alongside the management company to run the hotel.
Duff & Phelps confirmed that the hotel, which features communal rooms that can sleep up to 24 guests in multiple beds, remains unaffected and will open for business as usual after current restrictions relating to coronavirus are lifted. It said that all weddings, events and accommodation bookings would be honoured.
Duff & Phelps director Michael Lennon said: "The hospitality industry as a whole has seen increased pressures in recent years and has now been instantly hit incredibly hard by the Covid-19 pandemic. As a result, the Shankly is temporarily closed, Management's expectation is that once the lockdown is lifted trading will continue as normal."
The wider Signature Living Group remains unaffected.