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The sad story behind The Grand in Folkestone, one of Kent's most famous hotels

A destination for royal romances, the centre of a £500,000 tax fraud, haunt of high society for decades: if the walls of The Grand on Folkestone seafront could talk, there would certainly be some tales to tell.

In recent years the once state-of-the-art Edwardian hotel has fallen into disrepair, but its fortunes could be set to change once again after its glass-fronted restaurant was put up for rent, as Rhys Griffiths reports...

The Grand on The Leas in Folkestone
The Grand on The Leas in Folkestone

It’s not hard to picture the scene in the early years of the last century. Well-to-do promenaders walking The Leas, with its cliff-top views out across the English Channel, would veer as close as they could to the conservatory at the front of The Grand and peer through the windows, hoping for a glimpse of those relaxing inside.

The glass-fronted Palm Court was once the haunt of royalty, with Edward VII and his mistress Alice Keppel known to grace the 'monkey house' – so-called because the King and his courtiers were heavily bearded.

Since its heyday when Folkestone was a fashionable seaside resort, through the darker years when tourism dried up and the town fell on harder times, The Grand has stood as an imposing presence on the seafront.

Its public areas downstairs enjoyed by thousands of visitors every summer season - its one-time hotel rooms upstairs converted into apartments with glorious sea views.

But by 2021 the Grade II-listed building was showing increasingly-worrying signs of wear and tear after years of under-investment, and it was snapped up by a group of residents for just £448,000.

Archive image of The Grand in Folkestone
Archive image of The Grand in Folkestone

They faced a repair bill running into the millions of pounds, but made a commitment that The Grand would soon be accessible to the public once again.

Now, it looks as though this could become a reality, with the restaurant in the Palm Court now being advertised to let and work being carried out to bring the front of the building back to something approaching its former glory.

Mark Hourahane, vice-chairman of the New Folkestone Society, explains why the building has such a central place in the history of this seaside resort.

He said: “When The Leas was a fashionable Victorian destination for the well-to-do holidaying on the coast, an upmarket hotel, the Metropole, was constructed near the end of the promenade, only to be trumped upon completion by the builder, Daniel Baker, with his own hotel next door using state-of-the-art construction techniques.

“The Grand Mansions opened in September 1903 and was a popular haunt for royalty, composers, authors and poets.

Mark Hourahane, vice-chairman of the New Folkestone Society
Mark Hourahane, vice-chairman of the New Folkestone Society

“The front conservatory was dubbed the ‘monkey house’, as people would peer in to see who was inside.

“The hotel was immortalised in the script of Noel Coward's Blithe Spirit, when Elvira is noted to have gone to Folkestone to see friends in The Grand.

“In 1909, King Edward VII opened a new dance floor with Queen Alexandra, though he was purported to make visits with his mistress, Alice Keppel, great grandmother of Queen Camilla.”

Unlike its neighbour next door, The Grand survived throughout the 1960s and into the 1970s as a hotel, before being similarly converted to apartments.

In 1975 the building was purchased by local businessman Michael Stainer, saving the historic icon from the threat of demolition.

Former owner of The Grand in Folkestone, Michael Stainer. Picture: Gary Browne
Former owner of The Grand in Folkestone, Michael Stainer. Picture: Gary Browne

Following his takeover, Mr Stainer developed The Grand into a thriving business and one of Folkestone’s most sought-after wedding venues. But his time at the helm was to descend into financial acrimony which eventually led to him being jailed for a massive tax fraud.

Last year a jury at Southwark Crown Court found the entrepreneur guilty of two counts of cheating the public revenue and one of fraud by false representation over a four-year swindle which left the public purse cheated of almost £500,000.

During his trial the court heard how money taken from staff pay-packets and meant for HMRC were simply scooped up by Mr Stainer. The chartered accountant had owned The Grand for more than 40 years but he was forced to step aside after being declared bankrupt.

This eventually led to a company formed by residents being able to secure the freehold of The Grand at auction, with the aim of restoring the building and reopening communal areas to the public.

“We were delighted to learn that the residents had been successful in purchasing the freehold,” Mr Hourahane said. “The Grand is, of course, an important heritage building that must also not be lost - one of several red-bricked, stone-dressed buildings with cupolas that make a stand-out local vernacular.

“It is fantastic to see the Green Room again being used for performance, though we would hope the splendid theatre with its stage will again be put into use as well.

Postcard of The Grand and Metropole hotels on The Leas in Folkestone. Picture: Martin Easdown, Fashionable Folkestone
Postcard of The Grand and Metropole hotels on The Leas in Folkestone. Picture: Martin Easdown, Fashionable Folkestone

“We hope the restoration of the Palm Court goes smoothly, brings the building back to its former glory and becomes a commercial success that will sustain the building and ensure future generations will be able to enjoy it as much as it has been enjoyed for nearly 120 years.”

The lease for the Palm Court restaurant is now being advertised by agents Sibley Pares, who describe it as “an iconic conservatory restaurant overlooking the promenade with stunning sea views forming one the most striking features of The Grand”.

The Grand’s glass-fronted Palm Court restaurant is up for rent
The Grand’s glass-fronted Palm Court restaurant is up for rent

Renovation work is being carried out to install a new roof, repair timbers and redecorate the inside – and it is now expected that it will be ready to be opened to the public this coming autumn.

Although the presence of royalty cannot be guaranteed, the return of the paying public to The Grand will be a new chapter in the building’s remarkable history which will be welcomed by locals and visitors alike.

The New Folkestone Society AGM, which will include a talk about the history of The Grand, will be held at the Cornerstone Centre in Folkestone on Saturday (May 20). Entry is free for members, but it is possible to join on the day (£10 per person, £15 for a couple). Doors open at 1.30pm for a 2pm start.

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