One of Broughty Ferry’s best-known pubs, Jolly’s Hotel in Gray Street, has gone into administration.
Administrators KPMG have appointed interim operators who moved into the hotel on Thursday.
The establishment has been owned and run by John Adams, and latterly his son, Derek, for many years.
Staff were told not to discuss the administration, and a spokesman appointed by KPMG said they had been brought in to keep the premises running.
He said a statement would be made in due course.
Ward councillor Rod Wallace, who is also the convener of the licensing board, was disappointed to hear of the administration.
“We had been waiting for an application from them, I know they were trying to sell the hotel to Weatherspoons who were only interested in the lounge and function suite, not the bar area, but that’s gone by the wayside,” he said.
“It’s been on the market and hopefully they will find a buyer for it soon.”‘Sad loss’ for FerryHe added, “It’s a shame for the family as they have spent a lot of money on the place and it was a magnet for young folk at the weekends.
“It also has its regulars and they will be wanting it to continue.
“Otherwise it will be a sad loss to the Ferry.”
The news will come as a shock to many customers in Broughty Ferry as Jolly’s was regularly one of the busiest establishments, particularly at weekends.
Popular with a younger crowd, its lounge holds up to 450 people and gave the impression of a small nightclub, with regular DJs and karaoke nights.
The traditional public bar at the front of the hotel on Gray Street was open for business as usual on Thursday night.
Aside from its bars and lounges, the hotel was also popular with tourists.Pubs ‘need help’With 26 en-suite rooms and its location near to Monifieth and Carnoustie, Jolly’s was a big attraction for groups of golfers and many other visiting parties.
Mr Adams and his family previously owned the Ballinard Hotel, which was knocked down several years ago to make way for housing.
The closure is the latest in a long list of Dundee pubs and licensed premises to feel the full force of the economic downturn.
Colin Rattray, president of the Dundee Licensed Trade Association, says he can’t remember a tougher time for pubs and clubs and has appealed for the government to help small pubs in the face of economic adversity.
“Operating now is the toughest I remember in the 20 years I’ve done it,” he said.
“I don’t think anyone has put a price up in their bar in the past couple of years while we’re paying more to suppliers, more for rates and minimum wages have risen.”
He added, “I think everyone’s campaigning to canvas the Scottish Government and national government to ask for help.
“We’re in the midst of a recession and need help.”