Rotorua's Princes Gate Hotel has sold, with the Marvelly family leaving the business next month after three decades.

The hotel has sold to independent buyers and marks the end of Brett and Vlasta Marvelly's time running the hotel which saw it transformed from a run-down inn to a four-and-a-half star boutique hotel.

The new owner could not be reached for comment yesterday, but a spokesman for them said the new owner intended to continue running the hotel to a very high standard.

He confirmed a New Zealand company had bought the hotel.

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He said the new owner wanted to continue working with the local community, as the Marvellys had, and they planned to continue and build on the current offerings such as the restaurant and cabaret shows.

Mr Marvelly said it had been a privilege to own and operate the hotel.

"Having the opportunity to create experiences for guests, and making people's days and nights special has been a pleasure."

The hotel has around 30,000 guests staying every year, with about 50,000 guests dining in the restaurant. It has hosted a number of concerts including Dame Malvina Major, the late Sir Howard Morrison, Carl Doy, Greg Johnson and John Rowles, while the Marvellys' singer-songwriter daughter Lizzie cut her teeth performing in the restaurant as a teenager.

"It is extremely satisfying knowing that Vlasta and I have always given our best, with our motivation being guest satisfaction," Mr Marvelly said.

"Thirty years is a long time, realising that a hotel never closes its doors. It gives true meaning to 24/7. A normal working week for us would be around 80 hours so it's time to say goodbye."

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He said they wanted to thank those who had helped them over the years.

The couple have no plans to leave the district and Mr Marvelly will remain on the Rotorua West Rotary Club and Destination Rotorua Board.

"To Rotorua, we believe we have left a legacy for future generations to appreciate the history and charm that the Princes Gate Hotel offers," Mr Marvelly said.

Lizzie Marvelly, who now lives in Auckland, said she was "extremely proud" of what her parents had achieved.

"They've poured their hearts and souls into the Princes Gate Hotel over the past 30 years. I've never met anyone who works harder than my parents. I'm thrilled that they will now have time to kick back a little - although I suspect slowing down will not be on the agenda."

The new owners will take over on April 26.