The resort includes a hotel, luxury lodges, three dining venues – Cruize Bar Brasserie, Brambles Seafood Grill and Eighteen69 Scottish Tapas – and a spa.
With travel and other restrictions in place since the introduction of the tier system on 2 November, ever changing guidelines and uncertain times ahead make it impossible for the business to trade viably at this time, it says.
“With the furlough in place, our team is protected, whilst closing the resort allows us to minimise costs and reduce risk by creating certainty instead of speculation in our cash flow projections,” says Linda Johnston, co founder and managing director.
“Having said that, we still need to cover very high fixed costs each month we are closed which run into six figures (for which we receive very little support) but we would face a much larger loss if we attempt to continue trading in the current situation.
During the closure, a small team will be retained to keep the resort safe and the reservations department will remain open.
“With a vaccine on the horizon, there is now light at the end of the tunnel and we know that with the right support and the chance to trade viably out of the pandemic, Auchrannie and Arran will emerge from this difficult, worrying and stressful period, as a better place to live, work and visit,” says Johnston.
Businesses in Arran implemented Covid precautions responsibly and effectively during the four months from July 2020 and welcomed large numbers of visitors without a single case of Covid-19, she says.