The Oak House hotel in the Somerset town of Axbridge has been bought by David and Kim Pate and business partner Tom Killilea.
The new owners, who previously ran the Boat House Bar and Brasserie at Hythe Marina in Hampshire, bought the freehold off an asking price of £595,000. They plan to convert the restaurant menu to a brasserie/grill style focusing on seafood and fresh produce.
Axbridge is a mile from the Cheddar Gorge on the edge of the Mendip Hills and the hotel is located in its medieval market square, which is a mix of buildings from the 13th to the 19th century.
Parts of the hotel date back to the 11th century and it retains many character features including exposed stone walls, an inglenook fireplace, and an ancient well believed to be linked to the Cheddar caverns.
The hotel has nine bedrooms on the first floor, including a four-poster room, a family room and seven twin/double bedrooms.
Downstairs, the hotel has a main bar for 35 people, a 16-seat dining room with a bar servery, and a 60-seat restaurant/function room.
The business also has access to a fenced-off area with bench seating in the square at the front of the hotel.
The Bristol office of Christie + Co sold the freehold on behalf of former owner, Huw Davies.