New owners spent almost £10m acquiring Carnoustie Golf Hotel and Spa

The new owners of Carnoustie Golf Hotel and Spa spent close to £10 million acquiring the property.

New accounts for Carnoustie Golf Heritage and Hospitality Group Limited (CGHH) reveal the purchase price for the first time.

The group completed the transaction in September 2023. They plan to spend millions of pounds improving the facilities in a bid to attract The Open back to Angus.

Earlier this year, the international investment consortium took over the management of the three golf courses from charitable group Carnoustie Golf Links Management Committee.

This agreement is for the remainder of the current management agreement with Angus Council, which expires in 2033.

Carnoustie Golf Hotel and Spa investment

In relation to the deal for the hotel, the new CGHH accounts filed at Companies House state: “The total consideration paid for the trade and assets (including transaction costs) was £9,677,582.

“The net assets acquired comprised of leasehold properties of £8,549,479, goodwill and intangibles of £1,356,555, and working capital liabilities of £288,452.”

The accounts for the 14 months to March 31, 2024, show sales of £2.1m and a pre-tax loss of £158,000.

The company had more than £2m in cash at the end of the financial year.

And since the end of the financial year, a further cash injection has been received into the business.

The company’s first set of accounts adds: “Subsequent to the balance sheet date, the group has raised additional share capital of £11m and has made a significant investment in property and a trading business.”

Since then £3m had been spent on improving the reception, bar, outdoor eating area as well as upgrades to the hotel spa and pool.

It has also purchased Simpsons Golf Shop, located opposite the hotel, for an undisclosed sum.

Who are Carnoustie Golf Heritage and Hospitality Group Limited?

The company directors are Max Herberstein and Paul Lisiak.

Mr Herberstein led the UK acquisitions of David Lloyd Leisure and Stonegate Pub Company while at TDR Capital. He has several leisure assets in Austria.

Paul Lisiak is the managing partner and co-founder of New York-based investment fund Metropolitan Partners Group.

Other shareholders include Scott Lloyd, the chief executive of the Lawn Tennis Association.

Michael Wells, chief executive of CGHH, said: “From the very outset we have been clear in our commitment to deliver premium state-of-the-art facilities that will attract more visitors, benefitting local businesses and the wider Angus economy.

“The accounts evidence that we are making good on that commitment.

“The investments to date are very much a statement of intent in our ongoing ambition to transform Carnoustie Golf Hotel & Spa into a world-class leisure and tourism destination.

“We will present the next phases in our exciting proposals in the coming months and reiterate that protecting local golf access for the long term and at a fair price will underpin all future plans.”