The shop was converted in time for a booked wedding to create more space and also because it was becoming difficult to stock and manage.
"We are operating at more than 80% occupancy for our hotel even after adding the extra room, possibly because we have been doing an increasing number of weddings, which always take over the whole hotel," said a spokeswoman.
"The shop had been proving difficult to stock with fresh produce and to man, as the demand was so unpredictable: summer weekends could be busy but midweek in winter might only see the locals coming to collect their newspapers."
Residents can still collect their papers from the pub as a delivery point has been set up for the local newsagents in Helmsley to drop off the villagers’ orders.
Investment for the conversion was less than £10,000 as chef proprietor Andrew Pern chose the furniture and decorations and the team did their own listed building planning application. A member of staff did the decorating and so external costs consisted of just plumbing, joinery, electrics and curtain-making.
The room houses a sofa bed and is set in former stables so has been decorated with a horse hunting theme.
The introductory price of £200 per night will remain until the end of December but will increase from the beginning of 2014.