The 21-bedroom hotel has been closed after its previous leaseholders went into administration last year.
The property's owners, The Lord Crewe Charity Trust, will partner with Calcot Hotels on an extensive re-modelling of the venue which will see new entrances to a row of cottages which have been converted to bedrooms and contemporary interiors across the property.
"Our key objective is to restore The Lord Crewe Arms and establish it as a really affordable country hotel of quality with extremely comfortable and well-kept rooms," Richard Ball, chairman of Calcot Hotels, said.
"We aim to forge a strong reputation for great food, wine and beer alongside genuine hospitality for all. Sensible pricing will bring great value for money, whilst reflecting the level of investment required to attain and maintain high standards," he said.
The Cotswolds-based firm currently owns Gloucestershire's Calcot Manor, Barnsley House and The Village Pub.
The Grade II-listed hotel's bedrooms are found in part of a three-storey 12th century Abbey, a row of cottages and a former pub across the road from the main house.
When the property is reopened in spring 2013 its new operators are aiming to target the local community through its dining concept and bar and travellers and Northern city residents through its bedrooms offer.
"There are many within the locality and far wider afield for whom The Lord Crewe Arms resonates with memory and fondness, thanks to its characteristic Northumberland warmth and hospitality that has extended down many, many generations of customers," Ball concluded.