The Eden Hotel Collection is to develop a new 50-bedroom hotel in Salcombe, Devon, on the site of a 35-bedroom property it has recently acquired.
The development will become the first new build property for the Eden Hotel Collection, which until now has boasted a seven-strong portfolio of luxury hotels in carefully restored older buildings in the Midlands and south west of England.
They include the Buckland Tout-Saints Hotel, Kingsbridge, Devon; Mount Somerset Hotel and Spa, Taunton, Somerset; Kings Hotel, Chipping Campden; Arden Hotel, Stratford-upon-Avon; Brockencote Hall Hotel, Worcestershire; Greenway Hotel and Spa, Cheltenham; and Mallory Court Hotel, Leamington Spa.
The Tides Reach has been closed following flooding in January and will now remain closed until its demolition.
The new hotel, which will create 100 jobs, will feature a spa, private beach and an extensive terrace with sea views.
Mark Chambers, managing director of Eden Hotel Collection, said: "We are delighted to expand further into the south west, where our parent company, the Rigby Group, already has strong business links through its ownership of Exeter Airport and British International Helicopters."
Founded by IT entrepreneur Sir Peter Rigby, the Rigby Group's portfolio spans hotels, aviation, technology, property and investments. The Eden Hotel Collection, which has been built up over the past 10 years, added two hotels from the former Von Essen portfolio - Mount Somerset and the Greenway - in 2011.