Dalata Hotel Group plc UK Regulatory Announcement: Statement re Extension of …

DUBLIN–(1)–

Dalata announces extension of lease on Ballsbridge Hotel to at least April 2018

Clyde Court Hotel to close on 1 January, 2016 for redevelopment

Dublin | 29 September, 2015: Dalata Hotel Group p.l.c. ( Dalata ), the largest hotel operator in Ireland, announces the extension of Dalata s lease on the Ballsbridge Hotel to at least April 2018. Dalata s lease on the Clyde Court Hotel will be surrendered in line with the terms of the lease agreement and the hotel will cease to operate from 1 January, 2016, at which time the hotel will close for redevelopment of the site by Chartered Land, the owner of both the Ballsbridge and Clyde Court Hotels. Dalata has today informed its 100 employees at the Clyde Court Hotel of the hotel closure and outlined that it expects no job losses as a result of the closure of the hotel. Dalata has also confirmed that the suppliers of the Clyde Court Hotel will suffer no loss and will be paid in full. Pat McCann CEO of Dalata said; While there is a certain sadness at the closure of the Clyde Court Hotel, I am delighted that the Ballsbridge Hotel will continue in operation until at least April 2018.

Dalata has an excellent working relationship with Chartered Land and we look forward to working with them over the coming years. Our staff at the Clyde Court Hotel are truly excellent professionals and we are very keen to retain their services across our large network of hotels. We will be meeting with loyal and supportive customers over the coming days to discuss how best we can accommodate them in our other Dublin hotels. The certainty that we will operate the Ballsbridge Hotel until at least April 2018 is very good news not least for our employees, customers and suppliers but also ensuring that there are four hundred rooms and a multitude of meetings rooms available in a market that requires additional hotel space.

Dalata is in the process of raising ‘ 160 million in fresh equity capital which will allow us to acquire additional freehold hotels in Ireland, add bedrooms at certain existing hotels and explore opportunities to build new hotels in Dublin

Ballsbridge Hotel, Dublin

The Ballsbridge Hotel is a four star hotel located adjacent to the Clyde Court. The hotel contains 392 rooms, a bar, restaurant, conference rooms and a function room. Dalata initially entered into a one year lease for this hotel in January 2012. Dalata continued to operate the hotel under that lease until December 2013 when it entered into a lease with a term of five years from April 2013. Under the terms of this lease there are break options on 31 December 2015 and 30 September 2016. Following negotiation with Chartered Land around the surrender of its lease on the Clyde Court, Dalata will continue to operate the hotel under lease, with no break options, until at least April, 2018.

Clyde Court Hotel, Dublin

The Clyde Court Hotel is a four star hotel located in Ballsbridge containing 185 rooms, a bar, restaurant, conference rooms and a function room. Dalata initially entered into a one year lease for the hotel in January 2012. The Group continued to operate the hotel under that lease until December 2013 when it entered into a lease with a term of five years from April 2013. Under the terms of this lease the landlord has a break option on 31 December 2015 which has now been exercised by Chartered Land and Dalata will surrender the lease effective on that date.

Ends

About Dalata Hotel Group p.l.c.

Dalata is the largest hotel operator in Ireland, currently operating 41 hotels across the UK and Ireland with over 7,000 rooms.

17 of the hotels are owned by Dalata, 11 are operated under lease agreements and 13 are operated under management agreements. Dalata operates the Maldron and Clayton Hotel brands throughout Ireland & the UK, as well as managing a portfolio of Partner Hotels. The company was founded in July 2007 by Pat McCann with investment from TVC Holdings plc and clients of Davy Property Holdings when it acquired leasehold interests in eight hotels. The Maldron Hotel brand was launched in September 2008 and Dalata grew rapidly over the following five years capitalising on the trend for hotel owners to seek outsourced management solutions. Dalata listed on the Irish and London Stock Exchanges in March 2014, raising ‘ 265 million (gross) in equity capital. Since flotation the company has acquired 17 hotels including the ‘ 452 million acquisition of nine properties from the Moran Bewley Hotel Group.

The Clayton Hotel brand was launched in June 2015 and in September 2015 Dalata announced its intention to raise a further ‘ 160 million in equity capital to fund further acquisitions.

Dalata Hotel Group | Contact

FTI Consulting

Jonathan Neilan/Melanie Farrell

+353 1 663 3686/3683

Short Name: Dalata Hotel Group plc Category Code: STR Sequence Number: 486999 Time of Receipt (offset from UTC): 20150929T091247+0100

References

  1. ^ (www.businesswire.com)
  2. ^

Leave a Reply

Your email address will not be published. Required fields are marked *

  • No product categories exist.