The Guernsey-based marketing group acquired two hotels in the region last November and has now appointed architects, TP Bennett, to oversee the refurbishment of the two properties.

The two hotels, the Seaview in Alderney and La Favorita in Guernsey, will be operated by a new subsidiary, Healthspan Leisure.

Work on the two properties began at the end of June and is expected to reach completion by summer 2005.

The Seaview Hotel, which dates back to the 18th century and overlooks the bay of Braye, will be completely refurbished and extended to include 30 bedrooms.

The 33-room La Favorita, which was converted into a hotel after World War 2 following its occupation, will receive a new entrance and a timber deck above the indoor pool area, creating a large seating area with views to the sea.

Derek Coates, the managing director and founder of Healthspan Group, said: “These two hotels will be the first of a number of selective hotel acquisitions in the Channel Islands.

“We believe that we have an unparalleled ability to succeed in this market because we have a tremendously loyal customer base of over two million people in the UK.

“Our customers are typically over 45 years-old and have high disposable incomes. Most of them have children who have left home, so they are time-rich and don’t particularly need to holiday in the traditionally popular months of July and August.”

Doug Smith, partner at TP Bennett, said: “Our client has conceived a very appealing offer for their target audience. I am confident that the sensitive and creative restoration of these two historic buildings will help revitalise tourism in the Channel Islands.”