Kettletoft Hotel, Sanday, Orkney, Orkney, KW17 2BJ

For sale by Online Auction. 29th of April 2026.

Town & Country Property Auctions present this substantial Sanday hotel opportunity established trade, 10 bedrooms, beachside setting, and major development upside!

Description
Kettletoft Hotel, Sanday, Orkney, KW17 2BJ

Guide Price: £220,000

Established Trading Business Renovation Project Island Lifestyle Opportunity Significant Development Potential

Town & Country Property Auctions are delighted to present Kettletoft Hotel, a substantial and well-known hospitality premises located on the beautiful island of Sanday, part of Orkney.

This is a rare opportunity to acquire a characterful island hotel premises with an established bar and food trade, offering buyers the chance to take over a recognised local business while unlocking significant value through refurbishment, redevelopment, and reinstatement of guest accommodation.

The business currently generates circa £180,000 per annum from bar and food trade, demonstrating an established customer base and consistent turnover.

The property previously operated guest accommodation; however, accommodation is not currently trading due to updated fire regulation requirements. A purchaser may choose to renovate and reinstate the accommodation, subject to completing the necessary works and meeting all relevant standards.

Further upside exists within the outbuildings, which may offer potential for conversion into additional guest accommodation, subject to the relevant consents and renovation works. This could create an additional £20,000£30,000 per annum potential income, once completed.

The property requires upgrading and renovation throughout, making it ideally suited to an investor, hospitality operator, or hands-on buyer seeking a rewarding project with strong upside.

Accommodation Overview
10 Bedrooms (including 2 en-suite)
1 Main Bathroom
1 Sitting Room
1 Dining Room
1 Kitchen
2 Utility Rooms
1 Pool Room
1 Main Bar Area
Ladies & Gents Customer Toilets
Front Porch / Veranda
External Features
2 Outbuildings with development potential
Walled Garden
Beach located directly beyond the garden wall
Generous grounds and outdoor space

Established bar / restaurant business
Circa £180,000 PA turnover from food & drink trade
Former guest accommodation with reinstatement potential
Substantial internal footprint
Outbuildings with conversion potential
Requires refurbishment / upgrading
Rare island lifestyle and business opportunity

Situated on Sanday, one of Orkney's most scenic and welcoming islands, the area is renowned for stunning beaches, wildlife, heritage attractions, and a strong community atmosphere. Sanday continues to attract visitors seeking a peaceful island destination, supporting long-term demand for hospitality businesses.

A rare opportunity to acquire a substantial island hotel premises with established trade, extensive accommodation, and excellent scope to increase value through renovation and reopening the guest accommodation offering.

Legal Pack
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Auction Information
To view the auction information, click the Online Bidding button at the bottom of this advert or visit tcpa.co.uk.