Irish property developer may block Abu Dhabi bid for London Hotels

According to the Irish Times, a €2-billion offer by The Abu Dhabi Investment Authority (which is chaired by the emirate’s ruler, Sheikh Khalifa bin Zayed Al Nahyan) for a group of London hotels cannot go ahead without the permission of Irish property developer Paddy McKillen.

The offer for Claridge’s, the Berkeley and the Connaught hotel is but the latest bid by Middle Eastern states to buy prime properties in London over the past year, though it puts a higher valuation on the hotels than any former offers. The Abu Dhabi Investment Authority reportedly wrote to the Maybourne Hotel Group’s holding company Coroin last month.

McKillen owns 36 percent of Coroin; the Barclay brothers, Frederick and David, own 28.36 percent, though they control the remaining shares owned by Derek Quinlan because he mortgaged the shares to them.

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McKillen’s shares are reportedly mortgaged to the private US equity firm Colony Capital, which supported him last year when he refinanced debts that had been held by the Irish Bank Resolution Corporation. Colony is not putting pressure on him to sell, it is understood.


 

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