Wednesday 21 February 2018

Hotel deals total €3bn since 2012 as Dublin tipped to grow

The Gibson Hotel in Dublin was bought by Dekabank
The Gibson Hotel in Dublin was bought by Dekabank
Ronald Quinlan

Ronald Quinlan

More than €3bn worth of hotels changed hands in Ireland since 2012, according to a new analysis by Savills Ireland.

Despite €600m worth of transactions, Savills noted that last year was a quieter year for hotel sales, on foot of strong trading in 2016 (€850m) and 2015 (€1bn).

Among the most notable sales last year were Dublin's Gibson Hotel, which was acquired by German-based Dekabank for in excess of its €87m guide price.

Elsewhere, American businessman John Mullen completed his purchase of Carton House Hotel and Golf Resort in Kildare last month for €57m. Meanwhile, the MHL Hotel Collection added to its portfolio with the purchase of the Radisson Blu hotel and spa in Galway for approximately €50m.

A recent study by Savills revealed that more than 3,000 hotel bedrooms are actively planned for Dublin over the coming years.

In 2018 alone, new hotel openings in the capital are set to include the Iveagh Hotel, on Harcourt St, Aloft at Blackpitts in Dublin 8, the Clayton Hotel at Charlemont, the Maldron Hotel on Kevin Street, and The Devlin in Ranelagh.

"Dublin remains one of the best-performing cities in Europe in terms of occupancy, which will continue to attract attention from both hotel operators and investors," said Tom Barrett, director of Savills Hotels & Leisure division.

"Looking ahead to 2018, we expect to see further re-trades in a stabilising trading environment, following years of exceptional growth. In addition, the emergence of new hotels next year will also create interesting investment opportunities. So, overall, the outlook for the market is very positive."

Irish Independent

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