NHS Dumfries and Galloway has agreed to sell Crichton Hall and surrounding grounds to the owners of the Fonab Castle Hotel in Pitlochry.

Crichton Hall became a world-renowned mental health facility when it opened in 1839, but has most recently served as the administrative headquarters of the health board.

However, it is now set to be given a new lease of life as a high-end wellness resort with work expected to start soon on the conversion of the 12-acre site.

In a statement, prospective new owners Jed and Joanne Clark said: “When we visited Crichton Hall and reviewed the full scope of opportunity during the sale process, we could not help but be engrossed by the many benefits a destination hotel and spa would bring to the Dumfries and Galloway region.

“Whilst we totally recognised the challenges we would face delivering a destination hotel, we could equally identify how our knowledge, experience and approach to historic building restorations could create another five star hotel and spa equalling Fonab Castle Hotel’s breathtaking experience.

“Communities are at the heart of what we develop, and it was clear to see what our investment and strategy would do for the people of Dumfries and Galloway.”

NHS Dumfries and Galloway chief executive, Jeff Ace, said he was pleased to see Crichton Hall move into the hands of people with “such positive plans” for its future.

“This building has served NHS Dumfries and Galloway extremely well over many years, but it is also a very important part of the region’s architectural and cultural heritage,” he said.

“When we first made plans to sell the building it was very important to us that this was recognised and respected, and that the site was properly cared for, with the hope that it could be developed to its fullest potential.

“I believe that Mr and Mrs Clark’s plans for Crichton Hall exceed those ambitions.”