Dawnay Shore Hotels, the operator of the Paramount hotel brand, has announced it is to launch a strategic review which could lead to either the transfer of its property assets into an REIT or sale of the company as a whole.

The company has appointed Rothschild and Shore Capital as joint financial advisers, but have stressed that the review may not necessarily lead to a change to the current ownership structure.

Dawnay Shore's portfolio consists of 20 four star regional hotels in the UK, including the Lygon Arms Hotel in the Cotswolds and Edinburgh's Paramount Carlton. The company was established in 2004 by Dawnay, Day and Shore Capital.