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Business / Scalloway becomes latest hotel to go on the market

Scalloway Hotel owners Peter and Caroline McKenzie offer Sunday lunch for ten people. Photo: Hans J Marter/Shetland News

THE OWNERS of Scalloway Hotel have put the business up for sale – meaning that four Shetland hotels have gone on the market in less than a year.

Caroline and Peter McKenzie feel the time is right to retire from the business after owning the award-winning hotel for 11 years.

The Scalloway Hotel, which has 23 en-suite rooms, has an asking price of £900,000.

It comes after Lerwick hotels the Grand and the Queens were put on the market earlier this year.

The Brae Hotel was also put up for sale last year.

The McKenzies helped Scalloway Hotel to success on numerous occasions at the Scottish Hotel Awards, while its restaurant is the only local establishment with an AA rosette.

Among its accolades is the informal fine dining hotel prize which was won at the Scottish Hotel Awards last year.

Back in 2016 the business also became the first hotel in Scotland to become an accredited living wage employer.

It has played host to a number of big names, with then-Prime Minister David Cameron visiting in 2014.

Caroline McKenzie, who used to lead BBC Radio Shetland before taking on the hotel, said the couple plan on moving back south to be closer to family.

She added that they were “very proud” of what they have achieved with the hotel over the last 11 years.

“We set out to have somewhere that would showcase Shetland produce,” she said. “That was very important to us when we set up the restaurant.

“We’ve built up a really good reputation, which is hard work in itself, to build up a reputation for good food, nice rooms and good service.

“We hope we’re passing on a good business to somebody that wants to take it on.”

McKenzie stressed it was still “early days” in the process, with the hotel going on the market the first step towards the couple’s retirement.