Germany's DekaBank wins Dublin's Doubletree

(Doubletree by Hilton, Dublin)

The Doubletree by Hilton hotel in Dublin is set to go to German asset manager DekaBank.

As we reported last week, Dalata, Ireland’s biggest hotel group, has been seeking to acquire the property, which was poised to sell for an estimated €180 million to an unnamed buyer. The property reportedly attracted interest from the Abu Dhabi Investment Authority, Hyatt Hotels and REIT Host Hotels & Resorts, but DekaBank has emerged victorious. Blackstone purchased the former Burlington Hotel in 2012 for €67 million and has reportedly spent another €20 million renovating it.

Ireland's Competition and Consumer Protection Commission may carefully consider such an acquisition given the company’s “considerable presence” in the Dublin hotel market. Dalata currently has an estimated 3,200 rooms in Dublin, and the city accounts for more than half of its earnings.

And while concerns have been expressed that Dalata's considerable presence could see its efforts to secure the leasehold of the hotel subjected to scrutiny from Ireland's Competition and Consumer Protection Commission.

While the expiration of Dalata’s lease on the Ballsbridge Hotel in March 2018 would remove 399 rooms from the company’s portfolio, the addition of the 502-room Doubletree would boost the company’s room count by 103.