FRP Advisory, the restructuring and advisory firm, confirms that on 2 March 2015, its partners Jason Baker and Tony Wright were appointed joint administrators to the Manor Hotel and Restaurant Limited (“Manor” or “the Company”) in Rainham, Essex.
Located near the M25 motorway and City airport, the 15-bedroom hotel also operates a restaurant and bar with conference rooms and a marquee for both business functions and special occasions including weddings. The hotel has good access to London as well as the nearby towns of Romford, Hornchurch, Upminster and Dagenham.
Trading as normal
The joint administrators have retained operational control over Manor which continues to trade as normal through the administration with a robust set of forward bookings for both the hotel and restaurant. All 27 staff employed by the business have been retained to ensure the hotel and restaurant continue to be run to the highest standards whilst the business is actively marketed for sale.
Recent tough economic conditions within the wider hospitality industry, particularly in the corporate sector, had put unsustainable pressure on the cash flow of the Company under its current financial structure. The appointment of joint administrators at FRP Advisory provides Manor with the cushion needed to continue to operate the hotel as a going concern while the business is marketed for sale.
Jason Baker, joint administrator and partner at FRP Advisory, said:
“Manor Hotel is located within easy reach of the m25 and London – one of its main attractions to its varied and loyal customer base. Over the past few years trading has faced a challenging macro environment for the hospitality industry however bookings have remained stable which is a testament to the appeal of the hotel to guests including both conference and wedding parties.
“Despite the continuing resilience of the hotel’s operational performance, Manor had too much debt to service leaving no alternative for the Company but to seek the protection of administration while new investment is sought through a sales process.
“The administration process will provide a cushion to ensure the hotel and restaurant continue to take new bookings and operate as normal while external investment is sought and a long term solution can be found.
“We would invite interested parties to make early contact.”
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