Work is continuing on the closed-down Headway Hotel in Morecambe amid speculation about its future.
Workers have been on site in recent weeks clearing out and refurbishing the hotel on Marine Road East, which has been shut for three years.
On Tuesday, Beyond Radio visited the Headway whilst renovation work was taking place on the premises.
Our reporter was told, on-site, that the building would be reopening as a hotel.
The Headway is now owned by a company called Blackpool Pubs Ltd, who have a registered office in Leyland.
We have contacted Blackpool Pubs Ltd for official confirmation on the future plans for the hotel and we are awaiting a response.
The Headway has been closed since December 2019 when then-owners the Carlauren Group went into administration.
They bought the hotel in 2018, as one of 25 properties they purchased across the UK, aiming to create luxury care homes.
A spokesperson for Quantuma, joint administrators of the Carlauren Group, said the 54-bedroom Headway was sold to Blackpool Pubs Ltd as a freehold sale inclusive of all investor leases.
Paul Bury, owner of the Lothersdale Hotel in Morecambe, welcomed the investment in the Headway by the new owners, given the expected announcement by the end of 2022 on whether the planned Eden Project North attraction will receive funding from the government.
"The hotel is seeing investment, it’s saved from deteriorating further and potentially becoming a blot on the townscape," said Mr Bury.
"It has secured the long-term position for the hotel within the town and with Eden's announcement imminent it’s vital that hotel rooms are made available for the expected increase in visitors."
Local people have been speculating online this week about the future of the hotel.
We have spoken to multiple sources close to the Headway and received conflicting reports about what it might be used for, but no official confirmation.
This came after listeners contacted Beyond Radio asking if the hotel would become accommodation for asylum seekers.
Many UK hotels have been used as temporary homes for people from other countries seeking asylum in the UK.
A spokesperson for the Home Office said they would not comment on whether individual sites were being used for this purpose.