Dutco Group said it sees Scotland as a world-class hospitality destination.
The boutique Bruntsfield hotel in Edinburgh has been sold to a Dubai-based luxury hospitality group.
It is the second acquisition in Scotland by Dutco Group after it bought Mar Hall near Glasgow out of administration last year with plans to turn it into a resort to “rival Gleneagles”.
Dutco also runs luxury hotels in Dubai, the Maldives and the Seychelles under its own JA brand.
The 74-room Bruntsfield hotel last changed hands in 2021 when it was sold to Castleforge, which refurbished its bedrooms and restaurant.
Dutco is planning further investment in the hotel to reposition it as a leading luxury hotel in the city.
The Bruntsfield will continue to trade as normal under the new ownership and all existing bookings will be honoured. Upgrade works are due to start in 2025.
Align Partners advised on the deal and will manage the Bruntsfield alongside Mar Hall.
Nelson Gibb, group chief executive officer at Dutco Group, said: “Expanding further into Scotland’s vibrant hospitality market so soon after acquiring Mar Hall reflects our strong belief in Scotland as a world-class destination.
“We look forward to bringing our vast hospitality expertise to reposition the Bruntsfield and contributing to its continued success as a cherished part of the Edinburgh hospitality landscape.”
Matt Lederer, hotel acquisitions director for Castleforge, said: “We are pleased to have completed a successful bedrooms and restaurant refurbishment programme and brand repositioning of the Bruntsfield hotel, following our acquisition in mid-2021.
“The Bruntsfield has become a well-regarded boutique offering in Edinburgh. This sale marks the next stage in our business plan, and we can’t wait to see the hotel go from strength to strength under new ownership.”
JLL advised Castleforge on the sale.
Terms of the deal were not disclosed.