A DERELICT Abergavenny hotel could soon be transformed into luxury homes.

The Rock and Fountain Hotel was once thriving before it was damaged by a fire.

It is located just off the A465 Heads of the Valleys Road at Clydach North, and is almost buried under vegetation.

The property, which has a guide price of £100,000 plus, is being sold with planning permission for a four bedroom house to be built on the site and the former hotel being converted to four bedroom and five bedroom semi detached houses with garages.

Paul Fosh, of Paul Fosh Auctions, said: “The former Rock and Fountain Hotel offers a rare development opportunity in a beautiful part of Monmouthshire." It's set to go to auction on Thursday, October 19 at the Park Inn Hotel, Cardiff.