Naracoorte's historic Kincraig Hotel has closed its doors.
The only pub in Naracoorte’s main street was forced to close the doors on Tuesday morning after administrators were called in to take control.
In a statement, the administrators Heard Phillips said: “Please be advised that as a result of trading conditions, the business of the Kincraig Hotel has ceased to trade and the company has passed into voluntary administration.
“We expect the closure of the business only to be temporary and we apologise for any inconvenience caused.”
Licensee Peter Symonds was reportedly hopeful that the freeholders would decide to keep the doors open, but on Tuesday morning the decision was taken to call in administrators.
Kincraig duty manager Dave Clifford said the closure had immediately impacted on 25 full-time and part-time staff, as well as about 20 people who were staying long-term in the upstairs hotel rooms.
Mr and Mrs Symonds had been operating the hotel for several years and Mr Clifford said they had tried to trade their way out of trouble right up to the last moment, but it became impossible.
“Unfortunately it’s been in trouble for a while, probably 12 months,” he said.
“Overheads, organisational costs, rising power (costs), all that sort of stuff, it’s all had an impact.
“We have to thank the locals and the clientele for their ongoing support through troubled times, but unfortunately it’s gotten to a point where they couldn’t keep going.”
Mr Clifford, who has been on the staff at the Kincraig for 10 years, said that while the announcement wasn’t a total surprise, it did create a number of urgent issues including addressing a large number of upcoming bookings for Christmas parties and other functions.
He hoped some swift, adequate solutions could be found for those issues, and that the hotel could re-open under new management soon.
“The freeholders can come back in or someone can lease it off them, they would be a couple of options,” he said.
Naracoorte has for many years been serviced by three hotels – the Kincraig, which is on the corner of Smith St and Jones St and faces the Naracoorte town squares; the Naracoorte Hotel-Motel which is across the other side of the town squares on Ormerod St, and the Bushman’s Arms (formerly the Commercial Hotel) on Robertson St.