The Falmouth Beach Hotel faces an uncertain future as the owners have decided to put it on the market.
After more than 30 years running the family business, Hazel Evans is selling up following a devastating fire which ripped through the building last year.
Planning permission was recently granted for the hotel to be rebuilt on the site, but no work will begin on that project for the time being.
A spokesman for agents Christie and Co, which has been instructed to prepare the business for sale, said: "Since the fire (Mrs Evans) has been carefully considering the hotel rebuild project, her future plans and possible retirement from the hospitality industry.
"Consequently she has proposed a closure of the site and rebuilding work."
A potential buyer who can redevelop the hotel site is now being sought.
Just 39 rooms and the leisure complex were left after the fire in April. The remains that could not be saved were demolished and the site cleared and the leisure facilities opened in October.