Dalata Seals Double Tree by Hilton Dublin Deal
Dalata Hotel Group, Ireland’s largest hotel operator, has confirmed it has agreed to acquire the operating interest of the Double Tree by Hilton Hotel, formerly The Burlington Hotel, in Dublin 4.
According to a statement from Dalata, Deka Immobilien has conditionally agreed to purchase the freehold interest of the property from Sussex Road Nominee Limited (as legal owner) and BNY Mellon Trust Company (Ireland) Limited (as trustee for and on behalf of the beneficial owner, BRE Ireland Property Fund).
On completion of the acquisition, Dalata will commence operations in the hotel through a 25 year operating lease agreed with Deka as the new owners of the property, with the lease subject to certain conditions, including periodic rent reviews. The acquisition is expected to complete in November.
The Double Tree by Hilton Hotel is a four star city centre property located on the corner of Sussex Road and Burlington Road, Dublin 4. It contains 502 bedrooms, two bars, a restaurant and lounge; a 24-hour gym and extensive conference and meeting facilities.
The transaction consideration for Dalata is €2.5 million subject to certain adjustments. In 2015, the hotel recorded revenues of €29.5 million and full year profit before tax of €2.2 million.