THE north-east’s only five-star hotel is to close and be replaced with a massive office complex under a £90million redevelopment, the Press and Journal can reveal today. The proposal emerged as Marcliffe at Pitfodels owner Stewart Spence confirmed he would bow out of the hospitality industry after more than half a century.
A deal has been struck with developer Gibson McArtney Ltd, which wants to replace the North Deeside Road venue with a high-end office complex which could house the HQ of a major international firm.
Mr Spence, 66, said it was “the right time” to retire from an industry he has been involved with since 1962.
But last night, he pledged the hotel would “go out with a bang” and embark on a year of celebration in its final 12 months of business before the doors close.
And Mr Spence reassured customers planning weddings and functions that all bookings would be honoured up to November 2014.
Backers of the revamp scheme said a pre-application notice would be lodged with Aberdeen City Council “imminently”, and that they expect a high level of interest in the 11-acre site.
The planned office development would extend to 200,000sq ft, and replace the existing building, which would be demolished.
However, the proposals also include the retention of a restaurant and spa at the southern end of the site which could keep alive the Marcliffe name for years to come.
Mr Spence has also reassured staff at the 41-bedroom hotel that they will be “looked after”.
The prestigious venue, which was officially opened at its third and present location by former Soviet president Mikhail Gorbachev in 1993, employs about 100 full-time and 80 part-time workers.
Mr Spence said: “They are all like a big family to us, and we want to treat them as such.
“This hotel is successful because we have great people working here.
“By next year, I will have worked for 52 years. It is the right time for me to retire. The last year has been the best we have had, and I would like to go out at the top.”
Five years ago, the hotel was close to being sold to European Development Co (Hotels) for a reported £17million-plus.
Since that deal fell through, attempts have been made to find a buyer for the hotel, although it was never officially put on the market.
Developer Steve Keenan said the project could be named Beechwood after the name of the house when it was bought by the Spence family in 1991.
He said he expected strong interest in the site from the oil and gas sector, although he stressed it would be open to any interested party.
Backers of the scheme have also pledged to ensure any concerns among local residents are addressed through the planning process.
Last night, Aberdeen City Council leader Barney Crockett welcomed news of the plans and paid tribute to the contribution Mr Spence has made to the city and the industry over the years.
He said: “I think it is a landmark in Aberdeen’s history to see the retirement of Stewart Spence, who has been so much a part of the growth of the city as a business centre.
“In particular, he has helped to service the needs of the oil and gas industry and has done a great deal to help provide good-quality training in the catering and hospitality sectors.”