A Grade two listed mansion house in the heart of the Lake District National Park and with spectacular views over Derwentwater has come on the market with a price tag of almost £3m.

Barrow House, just outside Keswick, is surrounded by hills and mountains and boasts one of Cumbria’s largest private water falls in the rear gardens.

Barrow House's private waterfallBarrow House's private waterfall (Image: Knight Frank) Built originally as a private country house in the late 18th century it was converted to a hotel in the early 1900’s and has been operating as a youth hostel since 1961 providing accommodation for up to 88 people.

Barrow House is being sold by Knight Frank LLP.

Ryan Lynn, Partner with Knight Frank, said: “Now the hostel operation has come to an end Barrow House is being brought to the market and we feel it would make a fantastic hotel again.

“It truly is one of a kind and a blank canvas to be a really lovely, cool venue developed by a purchaser with the right vision to take on this incredible opportunity.”

The main house retains many original features including ornate fireplaces and cornicing and was once visited by Queen Elizabeth II.

In addition to the main house there is an adjoining managers’ house and three detached wooden lodges in the grounds.

The property boasts stunning views across the northern lakesThe property boasts stunning views across the northern lakes (Image: Knight Frank) The current owners have had plans drawn up for a contemporary extension which would almost double the size of the property although planning permission has not yet been sought.

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John Snyder, who has owned the house since 2011, said “We bought the property to safeguard the use of the building as an ongoing hostel, because so many children and students experienced the adventure and excitement of the outdoors right in the midst of the mountains, lake, waterfalls, and forest surrounding Barrow House.

“Many return as adults, including our own daughters who each had their wedding celebrations on the high terrace and extensive lawn overlooking the lake.

“Barrow House is simply stunning. It is a fantastic location surrounded by nature

“The estate now deserves the right owner who can appreciate the majesty of the location and the growth opportunity here in the Northern Lakes to develop the potential of this fantastic building and bring it back to life”.