PUBS may be in crisis in York, but at least this one has a bright future - despite appearances to the contrary.

The Waggon and Horses in Lawrence Street has been closed and boarded up for several weeks.

It appeared to have been finished as a pub, especially in the light of warnings by the York Licensed Victuallers Association yesterday, that a number of city pubs are on the brink of closure.

The association said pubs were in trouble after a hike in the wholesale price of beer by leading brewers, the introduction of the indoor smoking ban last year, last year's poor summer weather and increases in the price of energy and rates.

But Leeds estate agents Colliers CRE said today the Waggon and Horses had now been sold to Lincolnshire brewers George Bateman & Son, which intended to carry out a major refurbishment and reopen it by March.

Colliers director Sam Frankland said this was the first pub to be bought in York by the brewery as it expands its chain.

He said the company planned to provide accommodation upstairs in the former coaching inn, which was Grade 2 listed and specialises in traditional food and real ale.

George Bateman & Son's beers include Dark Mild, which has been voted Mild Of The Year by the Campaign for Real Ale three times, XB, XXXB, Salem Porter and Valiant.

He said the pub had previously been managed by Scottish & Newcastle on behalf of another company, but had been closed for about six weeks.

He said another pub further along Lawrence Street, the Tam O' Shanter, had also been sold and would remain as a pub.

However, the Bay Horse in Marygate would not be re-opening as a pub as it was being sold to developers to be turned into offices and flats.

City of York Council last year granted planning permission for the pub, opened in the late 19th century, to be re-developed. Wolverhampton and Dudley Breweries, which owned the building, said it was no longer viable as a pub.

Mr Frankland said that a crucial factor in the survival of pubs was the availability of space for a suitable outdoor smoking area.

He said the Bay Horse had only had a very small yard, but there was more space at the two Lawrence Street properties.