Dalata signs lease to open first Maldron in England
Published 18/11/2016 | 02:30
The country's largest hotel operator Dalata has unveiled plans to expand its Maldron brand into the UK with the opening of a new property in Newcastle.
Dalata signed a lease agreement to build a new Maldron Hotel with ES Newgate, a subsidiary of Northern Ireland construction firm McAleer & Rushe.
Once built Dalata will commence operations in the hotel through a 35-year operating lease, which is subject to five rent reviews linked to the retail price index.
The new four-starhotel, which is expected to open in summer 2018, will have 226 bedrooms, a restaurant, and meeting room facilities.
Dalata already operates nine hotels in the UK, including six Clayton hotels. The firm also operates the Croyden Hotel in London, and a Maldron in both Belfast and Derry in the North.
Deputy chief executive Dermot Crowley welcomed the partnership with McAleer & Rushe.
"This development provides us with an exciting opportunity to launch our Maldron brand in the English market, in line with our strategy of rolling out our Clayton and Maldron brands in the large regional UK cities," he said.
The latest expansion move comes after Dalata splashed out around €27m for the freehold interest of the Clayton Hotel in Cardiff last month. The weak sterling has made investing in the UK more attractive to Irish firms.