Carbisdale Castle. Photo: SYHA Hostelling Scotland

Carbisdale Castle. Photo: SYHA Hostelling Scotland

A historic castle that was used as a youth hostel for more than 65 years has been sold to an investment company.

Chelsea-based FCFM Group has bought Carbisdale Castle in Sutherland from SYHA Hostelling Scotland.

The hostel organisation said the building, which dates from the early 20th century, has been acquired as a private residence.

The charity put the castle on the market in 2014, three years after it closed needing extensive repairs. The original asking price was £1.2m, but SYHA reduced this to £900,000. It said on Friday Carbisdale Castle had been sold for an undisclosed sum.

It said FCFM Group plans to work closely with all relevant stakeholders, including the local community, to quickly complete the repair and renovation works started by SYHA and return Carbisdale Castle to its former glory as a world-class private residence.

The youth hostel organisation’s chief executive Keith Legge said: “SYHA is proud to have provided an affordable experience of staying in a Scottish Castle for some 65 years, hosting in that time one million guests, including young people and families from all around the world.

“As a self-funding Scottish charity of 85 years, it was with great sadness that SYHA was unable to sustain the castle as a youth hostel. All proceeds from the sale of Carbisdale Castle will be reinvested back into modernising the SYHA network of youth hostels across Scotland.”

The charity added it was delighted the new owners are in a position to bring the castle back to its former glory and wished them well in their endeavours in refurbishing Carbisdale Castle.

The castle, near Bonar Bridge, was built for the Duchess of Sutherland. It was known as the Castle of Spite because of the circumstances of its construction following an agreement between the family of the late Duke, who contested his will, and his widow. The settlement allowed for the building of the castle for the duchess outside the family’s land, in Wester Ross, but was built in a prominent position visible from Sutherland.

It was used as a residence for King Haakon VII of Norway during the Second World War, and following its owner’s death, his son Captain Harold Salvesen gave the building to the Scottish Youth Hostels Association.