Crisis-hit luxury hotel calls meeting of creditors
Published 05/04/2011 | 05:00
The luxury Carlton Redcastle Hotel in Donegal is the latest Irish hotel facing a crisis, after calling a meeting with creditors for April 15.
It is one of 11 Carlton-branded hotels in Ireland.
The meeting has been called to appoint a liquidator to the company that runs the hotel, on the Inishowen Peninsula in Donegal. The meeting will be held at the Hotel Kilmore in Cavan.
The business has more than 100 employees.
As well as a hotel, the premises includes a spa and leisure facilities that were the first of their kind in the north-west when the hotel was launched in 2005.
More than 300 Irish hotels have fallen into receivership since the start of the financial crisis. Accounts filed with the Companies Office show the company that operates the Carlton Redcastle has been loss-making over a number of years.
The business had debts of about €1m at the end of 2009 and does not own the premises it operates out of. The main creditors are banks owed €200,000 and suppliers.
Accumulated losses were in excess of €1.2m.