THE Housing Committee will sell the eight bedsits at Caledonia Close in Pier Road for £650,000 to the owners of the Royal Yacht Hotel, if the States agree.

In a proposition lodged this week, States Members are being asked to approve a proposal to sell 3 and 5 Pier Road – known as Caledonia Close – following the drop in demand for bedsit accommodation.

That situation, and the need to carry out a major refurbishment of the units, comes at a time when the Royal Yacht Group are proposing to redevelop the former JMT warehouse site, between Caledonia Close and the Weighbridge, as an extension of the Royal Yacht Hotel.

An in-principle planning permit for the project was given in November.

Along with the bed-sits, the Caledonia Close site includes five lock-up garages beneath.

The two, three and four-storey semi-detached blocks are separated by a division 11 feet wide through which there is a public right of way to the Weighbridge.

The sale of the property to the group will include this right of way.

Proposals by the Royal Yacht Group feature a six-storey building with 77 en-suite rooms, health, conference and restaurant facilities, as well as al-fresco areas.

The early plans included staff accommodation in that development, but if the States agree that the company can buy Caledonia Close, that property would be used for staff, along with associated parking.