Hotel Sales Rise 150% In Q1

The value of hotel sales in the first quarter of 2014 was 150% higher than the same period in 2013, according to the research team at Irish property firm Savills.

A total of 13 hotels worth almost €85m were sold in the first three months of 2014, compared with a total of six, worth €34m, in the first quarter of 2013.

Savills also reported that the figures do not factor in the number of hotels that are also now sale agreed.

Tom Barrett, Head of Hotels and Leisure at Savills said: "It has been a solid start to the year for the Irish hotel property market with almost €150m of hotels sold or at the sale agreed stage.


"Demand is certainly high – the recent IPO by Dalata Hotel Group Plc. and the emergence of funds targeting hotel acquisitions should continue to drive demand for hotels in prime locations. Combined with a steady flow of hotels coming for sale, we expect the volume and value of hotel transactions in 2014 to exceed the €200m of sales last year. Based on the first three months and our visibility of what is coming to market, we expect sales to exceed €300m this year."

Significant hotel sales in the first quarter included the Hilton Hotel Dublin for about €30m and the former Clarion Dublin Hotel Airport Hotel, and Doonbeg Golf Resort, both in the region of €15m. Dublin properties launched in the last week include the Portmarnock Hotel and Golf Links (€20m) and the Pearse Hotel(€9m), with the Westin Hotel due to come to the market shortly.

Savills said there was an 11.3% increase in the total number of trips to Ireland between December 2013 and February 2014 compared to the same period 12 months earlier.

(IT/MH)