Three Irish Hotels on Sale for Less Than One Sold in 2006Neil Callanan
The Malton, where Jacqueline Kennedy and her children vacationed in the 1960s, and two other Irish hotels were put on sale for 30 million euros ($41 million). That’s 10 million euros less than The Malton alone sold for in 2006.
The hotel, opened in 1854, is in Killarney about 290 kilometers (180 miles) southwest of Dublin and it’s where parts of “Ryan’s Daughter” starring Robert Mitchum was filmed. The 172-bedroom Malton is being sold together with the Metropole Hotel in Cork and the Kilkenny Ormonde Hotel in the city of the same name, broker Savills Plc said in a statement today.
“This is the first portfolio of Irish hotels to be offered for sale in almost a decade,” said Tom Barrett, head of Savill’s hotel and leisure unit in Ireland. The hotels are profitable and “considerable interest” is expected, he said.
Irish commercial property values fell by as much as two-thirds after a real estate bubble burst in 2008. An improving economy is boosting demand for business properties, which gained the most since 2006 in the first quarter. Revenue per available room, a hotel-industry measure of occupancy and rates, rose 11 percent to 71 euros at Irish hotels last year, according to data compiled by researcher STR Global.
The decision to sell the properties was made after domestic and overseas investors approached the current owners to ask about purchasing them, according to Savills. The owners weren’t identified.
The Malton sold for about 40 million euros in 2006, according to broker CBRE Group Inc. Originally named The Railway Hotel, it was built on land acquired from Lord Kenmare on the condition that he and his family would have free rail travel and that trains would be held at the station if he was running late, according to the hotel’s website.
Other guests to have stayed at The Malton include Princess Grace of Monaco, actor Charlie Chaplin and former Irish prime minister Jack Lynch. The presidential suite is named the Kennedy Suite.
The properties can be purchased individually or as a portfolio, according to Savills. The 118-bedroom Kilkenny hotel includes a parking garage with 712 spaces. The Metropole has 112 bedrooms, the broker said in the statement.
The value of Irish hotels that will be sold this year will be more than 350 million euros, compared with about 200 million euros in 2013, London-based Savills said in a separate statement today.