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Stornoway’s historic Lews Castle is to be given to an outside holiday company in a hugely controversial move which will hit trade at existing island tourism businesses.

 

Hebrides News can reveal that Western Isles Council has decided to award the lease of the redeveloped building to Natural Retreats even though it admits it will secure scarce business away from some existing hospitality providers.


The authority insists there will be an overall boost to the wider Hebridean economy.

 

Undisclosed economic impact information will be considered by the Lews Castle project board next week where the contentious decision is expected to be finalised.

 

Natural Retreats would get the castle at an undisclosed commercial rent up to 2044. An extension on this period may be available.  

 

In a private meeting, and now approved by the full council, councillors agreed to lease the castle under a “development agreement” for an “initial period of not more than 30 years” including optional ten year lease breaks.

 

Some 30 jobs would be created and Natural Retreats would fund part of the building works to redevelop the crumbling castle.  

 

Island self-catering rivals are up in arms claiming the market is over-saturated.

 

They say public money should not be used as a subsidy to allow an incoming competitor to undercut existing local businesses.

 

Objectors warn the council‘s "economic regeneration strategy for the castle is flawed and fatal for those already serving this market and should be reconsidered."

They said it would be a "direct threat to existing self catering business," while Heritage Lottery Funding should not be at the "expense of established local businesses."

 

►  Comhairle urged to delay Lews Castle lease

►  Natural Retreats reveals 5 star proposals for Lews Castle   

►  Tourism businesses surveyed over Lews Castle row

 

 

 

 

 

Council to lease Lews Castle to controversial operator          24/4/14