North-east guesthouse to be converted into homes after trade affected by AWPR and oil slump

A once popular north-east guest house could be converted into homes after the oil crisis and creation of the AWPR severely hampered trade.

The Lairhillock Lodge, near Stonehaven, was built in 2009 and offered a base just outside the city from which tourists could explore the wider north-east.

Between 2010 and 2016, the business let a healthy average of 4,400 rooms per year, but by 2017 several factors were being linked to plummeting bookings.

As the amount of rooms booked per year halved, and trade showed no sign of returning, the lodge was placed on the market in 2019.

With little apparent interest from buyers, the decision has now been made to convert the 25-room guest house into five homes.

Documents submitted by THE Architecture and Planning on behalf of Jerry Ironside, who has been the owner since 2010, say the works involved could  “support jobs in the construction industry at a critical time”.

They state: “There has been a steady decline in occupation resulting from a combination of increased accommodation supply, changes in travel routes resulting from the AWPR completion and an overall market contraction for accommodation following reductions in oil price.

“The business is no longer viable to continue and the guest house is closing.

“The guest house has been marketed for sale as a going concern, but not unexpectedly there have been no offers made.

“The applicant having invested in the construction of the building is eager to see the building put to a good use.

“The owner is now seeking to change the use of the building with minimal alterations to create five residential properties for sale.”

The Lairhillock Inn, just next door, closed its doors in March.

The two businesses had helped to support each other, with tourists staying at the Lodge often popping next door to the Inn for a drink or a meal, but both ultimately crumbled under the common pressures facing the north-east hospitality industry.

The Lairhillock  Inn’s Sandy Law told the P&J in March: “Trade has been absolutely rubbish for quite some time.

“I would like to blame the AWPR solely, but that’s not the case. However, it really hammered it home for us.

“Pubs and restaurants, even in town, but especially those in the country, are dying everywhere for all kinds of reasons.”

The full planning application can be viewed on Aberdeenshire Council’s website.