The Mount Murray Hotel and Country Club is to close next Friday with the loss of over 30 jobs.
14-months ago there was a major fire at the complex which totally gutted the majority of the accommodation block.
It says it has now been forced to agree a settlement after "protracted negotiations" with insurers which have lasted over a year and the prospect of a further year of arbitration.
Crippling energy costs have also been cited as the final nail in the coffin for the business.
The venue has been one of the Island’s premier accommodation and function venues for the last 20 years - anyone with wedding or function bookings will be contacted to discuss alternative arrangements.
The golf club will remain open for the foreseeable future.
Want to start training to become a nurse?
Appeal launched after fly-tipper filmed dumping rubbish
Prepare your pets for Bonfire Night, says Manx charity
Manx Care bringing in mobile translation machine
Steam Packet says it would get too many Freedom of Information requests
Vintage TT trophies on sale for £5,000
TT merchandise company still owes government over £100k
Manx Care's annual assessment shows £15.6m deficit
