Hotel group Dalata snaps up series of suites at Dublin's Clarion for £7.6m
Ireland’s largest hotel operator, Dalata Hotel Group, has announced a deal with receiver Martin Ferris to buy the long leasehold interest of 33 suites in the Clarion Hotel Liffey Valley, Dublin, for £7.6m.
The consideration will be paid in cash, and is expected to be complete before the end of September.
Earlier this month Dalata, whose portfolio of hotels includes the Clayton and Maldron hotel chains, announced that it had completed the acquisition of the core Clarion Hotel in Liffey Valley.
This incorporated 158 bedrooms, the leisure centre, meeting rooms, reception, bar and restaurant, and car park.
The transaction announced yesterday, which is the equivalent of 99 rooms, will result in Dalata owning and operating all 257 bedrooms in the property, which it intends to rebrand as a Clayton Hotel before the end of this year.
According to Davy analysts, the 99 rooms will generate earnings before interest, taxation, depreciation, and amortization of approximately £880,000 in 2018 for the group.
“We are delighted to acquire these additional bedrooms so quickly after the purchase of the core hotel and are very excited about the potential of the hotel under the Clayton brand,” said Dermot Crowley, deputy CEO business development and finance. Following yesterday’s announcement, shares in the company rose marginally on the Irish Stock Exchange.
Earlier this month, Dalata reported profits of £28.9m for the first half of 2017, up 80% on the same period in 2016.
The company runs the Maldron hotels at Belfast International Airport and in Londonderry, and next year it will open another Maldron, in Belfast’s Brunswick Street.
Belfast Telegraph Digital