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U2's hotel boosted by huge profit elevation

U2's leading members still have not found what they are looking for at the boutique hotel they own in Dublin.

The latest results filed for the four-star Clarence Hotel showed profits increased almost 10-fold last year to €113,787, but the hotel is still nursing accumulated losses.

The Temple Bar hotel, which employs 70 people and opened in 1992, is owned by Bono and his wife, Ali Hewson, The Edge through Lorijudd Investments, along with financier Derek Quinlan and developer Paddy McKillen.

The results show the Clarence reduced accumulated losses to €2.45m last year.

New general manager Michael O'Connor said yesterday that the recent return to profit follows "a continued focus on cost and sales for 2011".

The hotel also benefited from Bono and The Edge's Clarence Partnership giving the hotel "a material waiver in the annual rent charge in respect of 2011".

The accounts state that directors Bono and The Edge "have confirmed their intention to provide the financial support necessary to enable the company to discharge its liabilities as they fall due and continue its operations for the foreseeable future".

The two have already invested millions in the hotel. In 2006, a loan of €8.5m from Lorijudd Investments to the Clarence was written off.

Advertised online room rates at the hotel yesterday ranged from €119 for a superior king room, with nightly rates for the penthouse suite going from €850.

Indo Business