WIE supports triple hotel revamp
17 December 2002

Western Isles Enterprise (WIE) is supporting the major upgrade of three Western Isles hotels.

The family-run Isles Hotel Group has secured a financial package worth over £370,000 towards the cost of upgrading the Group's three properties, the Borrodale Hotel in South Uist and the Creagorry Hotel and Dark Island Hotel on Benbecula.

The funding assistance from WIE includes support from the HIE Standards programme - a European-funded initiative which provides financial assistance to accommodation providers for investment in the upgrade of their premises in a bid to attract and meet the needs of today's discerning travellers.

The three hotels currently employ more than 50 staff in the Western Isles with at least a further seven full-time equivalent (FTE) jobs being created as a result of this investment.

The Dark Island Hotel at Lionacleit is the Group's flagship hotel and the largest employer supporting 32 FTE jobs.  The premises has a two star grading from Visitscotland but improvements will ensure a three star grading for the Dark Island Hotel when the renovations are complete.

The revamp of the Dark Island Hotel is costing in the region of £115,000.  WIE are helping fund the project with a building and development grant worth £43,900.

Also in line for a significant facelift is the Borrodale Hotel in South Uist, which employs about 24 staff.  The Isles Hotel Group is carrying out upgrading work at this hotel in order for it to retain its three star award. 

Costing in the region of £27,700, WIE has awarded this project £10,600.  Among the improvements taking place at the Borrodale Hotel include the establishment of a childrens play area. 

The most substantial investment however, is being made at the Group's Creagorry Hotel on Benbecula.  The upgrading of this hotel is set to cost almost £800,000 but will see the hotel's Visitscotland grading boosted from a one star to a three star.

The Isles Hotel Group bought the Creagorry Hotel nine years ago but it has been operating mainly as a public house during that time, although it does have 18 bedrooms and is sometimes used as an overflow when the nearby Dark Island Hotel is full.

Among the work being carried out is an extension to the building in the shape of a conservatory restaurant, a viewing tower and a small residents lounge.  An added attraction at the hotel will be the offer of exclusive fishing on nearby lochs as well as seawater fishing.

WIE is supporting this development with an award totalling £317,100 and includes assistance from the European-funded HIE Activity programme, which supports tourism activities covering everything from mountaineering and fishing, to events and festivals.

Supporting eight FTE jobs at the moment, the Creagorry Hotel staff numbers will rise by at least four as a result of the upgrade.

Stephen Peteranna is general manager with the Isles Hotel Group.  Commenting on the revamp of their three properties, he said: "This significant investment protects the 80 jobs we have at the moment within the group and gives the opportunity to expand the three businesses.

"The appointment of a dedicated marketing executive and the stepping up of staff training through the Investors in People programme will mean The Isles Hotel Group will meet and exceed customer expectations for the foreseeable future."

Chief executive of WIE, Donnie Macaulay said: "Enhancing the tourism product in the Western Isles is a priority for WIE.  As a result, we are pleased to be able to assist the Isles Hotel Group with their ambitious renovation projects at their three hotels in Benbecula and South Uist."

Upgrading works have already started on the three properties with a completion date of summer 2003.

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