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Highly Profitable Seafront Hotel On Somerset Coast For Sale

Burnham-on-sea, Somerset
Asking Price:
£645,000 Furniture / Fixtures included
Net Profit:

The only Hotel on the seafront in Burnham-on-Sea with a turnover of approx £200,000 net per annum from hotel rooms alone. The 3 new holiday rental apartments will add further revenue as they become established.

Currently trading UP on 2018 figures.

The Hotel does not provide food to guests and there is no bar on site - making this an easily managed, cost effective Room Only business.

This Hotel has the benefit of;

17 economy, standard and sea view en-suite guest bedrooms
plus 3 brand new holiday rental apartments
plus 2 further guest rooms currently used for storage
plus fantastic one (perhaps two) bed owners apartment and private courtyard.

The business is operated by a husband and wife (39 hours & 10 hours) with the assistance of 2 part-time reception staff, 4 part-time housekeepers and a self-employed handyman. All staff are employed on 4 hour contracts and work under the tax, NI and pension thresholds.

Turnover has increased year on year since 2013 and now provides an adjusted net profit of circa £105,000 (Valuation by Andrew Forbes Chartered Surveyors Oct 2018).

The Hotel trades on a value-led Room Only basis with rates from £30 to £120 depending on the room and season.

The 3 brand new holiday apartments are now being marketed on airbnb and are starting to show healthy occupancy levels; often being booked for stays of up to a month with achieved incomes from £475 per week and £673 to £970 per unit monthly.

The business gains a healthy proportion of its' turnover from direct bookings via two dedicated websites, by telephone and from word of mouth. The Hotel benefits from a large number of repeat guests.

Listings on just two OTA websites (max 15% commission) account for the remainder of the bookings. The Hotel is rated as "Very Good" on Booking-dot-com.

Our websites are &

The current owners have redeveloped their successful business targeting guests over the age of 18. New owners may wish to open the Hotel to family groups for which there is existing demand within this very busy tourist Town.

Historically, the Hotel has attracted contractors from mid-November to Easter - there are a large number of businesses within a 30 minute drive and regular construction projects in the vicinity.

The ongoing construction project at Hinkley Point C Nuclear is expected to bring a further 4,000 workers into the area during the next few years (taking the number to over 7,000 on-site) and this hotel is geared to accommodate them, especially during the winter period.

A new large scale enterprise zone is due to commence construction in early 2020 which will bring a large number of workers for the build phase and 4,000 jobs on-site once completed. Add to that the planned housing developments nearby and you start to appreciate the volume of business coming into this area.

The property has a Rateable Value of only £16,000, with less than £8,000 payable annually.

The Hotel traditionally closes for 2 weeks over the Christmas and New Year periods. Due to the sudden ill health of the owners parents, the business also closed for 3 weeks in January 2019 and this has resulted in a desire to sell and move closer to family so greater support can be given.

Accounts will only be made available following a viewing.

We respectfully remind potential buyers that business lending is not like residential borrowing. A potential buyer would need a minimum of £250,000 in cash or easily converted equity in order to obtain a commercial mortgage.

This business has identified its core market and targets the cost-conscious traveller extremely well.

If interested, please contact the seller through the form on this page.

Property information



Living Accommodation:

There is a wonderful one-bedroom ground floor owners apartment featuring a newly built kitchen, large lounge with diner off it, a large king size bedroom, en-suite, utility room and walk in dressing room (could be a childs bedroom). A courtyard provides relaxation space and parking for 1-2 vehicles.

It should be noted that additional family groups could occupy any of the brand new apartments.


The Hotel is the only Hotel on the seafront - and one of only a handful of accommodation providers within the Town of Burnham-on-Sea. Turnover UP on 2018 so far.

Premises Details:

The Hotel was built in 1796 but is not listed.
Six guest parking spaces occupy the forecourt of the property.
The building is spread over the ground, first and second floors having been extended and modified over the years.

Size in square feet:
Energy Performance Rating:

Business Operation

Expansion Potential:

The current owners prefer to trade on a value-led Room Only basis catering for guests 18+. New owners may wish to move direction and develop a boutique bed and breakfast trade, welcoming families to the Hotel.

Competition / Market:

There is limited competition within the Town of Burnham-on-Sea itself; with each of the guest houses or pubs with rooms being much smaller enterprises. There is a travelodge approx 3 miles away located on the edge of an industrial estate and the usual mix of accommodation providers expected for a tourist County such as Somerset.

Reasons for selling:

The current owners have built the business since 2013 and have enjoyed a great living in the process. However, the deteriorating ill health of parents has come as a wake-up call and they wish to focus their time on them.

Trading hours:

While the Hotel trades 24/7, reception only opens between 2pm and 10pm to greet arriving guests. The business has traditionally closed for 2 weeks at Christmas and New Year (it closed for an extra 3 weeks in January 2019 due to ill health of the owners parents)

2 part-time reception staff, 4 part-time housekeepers, 1 part-time handyman
Years established:
The property began its life as a Guest house as far back as 1796, though the current owners have been in the business since early 2013.

Other Information

Support & training:

The existing owner would be prepared to stay on for an agreed training period if desired.

Inventory / Stock value:
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