The days of buying hotels on the cheap, at least in Ireland, could be over. That's what Ireland's Independent is reporting citing words from Dalata Hotel Group's CEO Pat McCann, who said there are about 100 hotels in some form of insolvency. "Whether we'll take advantage of that or not is another matter. I reckon by the end of this year that the value we have seen won't be around in most cases," he added.
Dalata is Ireland's largest hotel group.
McCann said an improving economy, corporate activity and strong tourist numbers have boosted the hotel sector, with the impact now spreading beyond Dublin to secondary cities including Galway and Cork.
Dalata recently completed the €455 million acquisition of the Moran Bewley's Group.
The company has also just bought the 170-room Holiday Inn in Belfast for £18.5m (€26m). Mr McCann said another acquisition of a hotel it already manages might be sealed within weeks. Dalata owns, leases or manages 47 hotels. It owns 15 and leases 13.
Meanwhile, according to one report, Dublin was tops for hotel revenue per room and transactions growth out of seven European gateway cities in 2014.