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It was hoped that Spa 1877 on Victoria Street, just off Glossop Road, would reopen in spring this year after the keys were handed to a new operator, Town and Country Holistic Spas and Hotels Ltd.
But a disagreement between that firm and the long-term leaseholder Steve Wilkinson, who had run the spa business until its sudden closure in 2019, has thrown a spanner in the works.
Both parties have been relatively tight-lipped about the dispute, with what they can say at this stage limited for legal reasons.
A spokesman for Town and Country Holistic Spas and Hotels Ltd said: “Due to an ongoing legal action, it’s unlikely the spa will reopen any time soon. We cannot comment further at this time.”
Mr Wilkinson, however, said he remained confident the venue would reopen soon but that it would not be run by Town and Country.
He said: “We’re considering the legal position regarding Town and Country Holistic Spas and Hotels Ltd.
“We have spent money recently renewing essential equipment and putting in new energy-saving equipment, and that work is ongoing.
“We have had interest from other operators and we are going to reopen it, hopefully in the first half of next year.”
The premises, which was part of the Glossop Road Baths and is said to have the oldest Victorian Turkish baths in the world, was initially shut by Mr Wilkinson amid a dispute with Sheffield Council over bus gates.
Many customers who hold gift vouchers or had paid deposits for bookings say they have still not received a refund.
The new operators, Town and Country Holistic Spas and Hotels Ltd, operating as Spa 1877 Ltd, had said they would offer a Turkish bath experience to anyone with a proof of purchase made through the previous operator as a ‘goodwill gesture’.
It is understood Town and Country Holistic Spas and Hotels Ltd signed a lease to take over running Spa 1877 in June 2021, with Mr Wilkinson retaining the longhold lease.
After Spa 1877 closed, the building went up for sale for £695,000, before going back on the market in 2020 to let with a guide price of £75,000 per year.