The Dublin-based Dalata Hotel Group is buying Clayton Hotel in Galway and Whytes Hotel in Co Wexford, Ireland, for $40.41 million in an all-cash deal.
Dalata managed the two hotels since 2009. They were put on the market in August as part of Ulster Bank's Project Nadal. The sale is expected to close over the next four weeks. Last year the two hotels reported earnings before interest, tax, depreciation and rent of $3.19 million.
The 195-room Clayton Hotel at Ballybrit in Galway opened in 2007, and was developed by loval developer Shane Connolly and hotelier John Glynn. The hotel slipped into receivership in 2010 with debts of $25 million. It had been expected to sell for about $17.88 million. It has conference and banqueting facilities, a swimming pool with a sauna and a steam room.
Whites Hotel is a landmark hotel in Wexford. It was bought by businessman Michael Burke in 1997 and closed in 2004 to undergo re-development. It re-opened in 2006 after a $70-million rebuild. The hotel fell into receivership in 2009