The Igloo Hybrid Hostel in Nottingham has been brought to market for a freehold asking price of offers over £1m, with leasehold options also available.

With 23 bedrooms that can accommodate up to 68 guests, the hostel features both private and shared rooms in the form of double en suite rooms, rooms with single or double sofa beds and Japanese-style sleep boxes.

Its communal areas include a shared kitchen and a lounge area with access to a private courtyard, and the building has been recently renovated.

Situated in the city’s centre near Old Market Square, it is made up of two connected three-storey properties, Hybrid and Shed, following earlier expansion work.

The hostel’s owner said: “It has been an absolute privilege and a great adventure bringing derelict city buildings back to life, and for me and my awesome team to offer unique and colourful budget digs to visitors over these last 30 years. I am excited to see how a new passionate operator will continue to grow this much-loved gem of a small business for many more decades to come.”

Matt Hill, senior business agent at Christie and Co, who is managing the sale, added: “This is a unique and attractive opportunity for an experienced operator to acquire a prime city centre accommodation business.

“The business has a proven track record and offers a different profile to most traditional hotels, but is a model that is growing in popularity, and therefore one that should be seriously considered. We are already receiving viewing requests and would encourage interested parties to get in touch for more information.”