Eden Hotel Collection has invested £12m (US$20m, €14.5m) in a luxury waterfront 50-bedroom development in south Devon, following the purchase of the site’s existing Tides Reach Hotel.

The 35-bedroom Tides Reach Hotel was acquired by Eden Hotel Collection – a privately owned group of eight luxury hotels across the Midlands and the South West – in January 2014 from a family who owned the property for 47 years.

The hotel will remain closed while the new building is created. It will feature a spa, private beach and an extensive terrace with sea views of British coastline in South Sands, Salcombe.

“Tides Reach will add to our existing luxury hotels in Somerset and Kingsbridge, establishing a firm presence for Eden Hotel Collection in the region,” said managing director of Eden Hotel Collection, Mark Chambers.

The hotel is scheduled to open in time for the 2016 season, after an extensive public consultation this spring and the submission of an application for planning permission late this summer. The company is currently keeping tight-lipped over its exact plans for what the spa will feature.

The creation of an estimated 100 jobs is expected as a result of this development, according to the Eden Hotel Collection.

Eden Hotel Collection is part of the family-owned Rigby Group, founded by IT entrepreneur Sir Peter Rigby. The Group’s portfolio spans hotels, aviation, technology, property investments. The Rigby Group’s other firms in the South West include Exeter Airport and British International Helicopters.

Other hotels and spas included in the Eden Hotel Collection include Buckland Tout-Saints Hotel, Devon; The Mount Somerset Hotel and Spa, Somerset; The Kings Hotel, Chipping Campden; The Arden Hotel, Stratford-upon-Avon; Mallory Court Hotel, Leamington Spa; The Greenway Hotel and Spa, Cheltenham; and Brockencote Hall Hotel, Worcestershire – which was recently named as a finalist in the Small Hotel of the Year category of the 2014 VisitEngland Awards for Excellence.