€8m for Radisson Blu Hotel and Spa, Cork
Savills Hotels and Leisure have been appointed to sell this leading 4 star hotel, the Radisson Blu Hotel and Spa, Cork. The hotel opened in June 2005 in the 9 acre grounds of the historic Ditchley House and boasts 126 bedrooms, a large lobby and lounge, bar, function room for up to 500 and 9 additional meeting rooms.
Ditchley House dates from the 19th century and was sympathetically incorporated into the main hotel. There is an extensive leisure centre and spa, with a gym and 18m swimming pool, which has approx. 1,000 members. The high specification Retreat Spa contains 9 treatment rooms. There is parking for over 300 cars and a kids playground.
The hotel trades very successfully and achieved particularly strong profit growth over the last three years. It is managed by the leading international hotel company Rezidor and trades under the 4 star Radisson Blu brand. There are 13 Rezidor hotels in Ireland, with 10 of these hotels trading under the Radisson Blu brand.
According to Trending.ie, Cork hotels achieved Occupancy of 70% in 2012 at an Average Room Rate of €69, up from low points of 63% and €66. Occupancy of 70% exceeded the Cork peak reported by Trending.ie of 69% in 2007. However, room for further pricing recovery remains, as the 2007 peak was €90.
The Radisson Blu Hotel and Spa, Cork marketing campaign is launched today by Savills Hotels & Leisure headed by Tom Barrett, who expects it will attract both domestic and international buyers.
Savills are confident that the Radisson Blu Hotel and Spa, Cork – guiding at €8m – will attract very strong interest. According to Tom Barrett, “Cork is a vibrant city, with excellent domestic and international, corporate and leisure business, which supports the strong Occupancy and Average Room Rates at this hotel and offers immense future potential.”
The spacious 126 hotel bedrooms include;
· 92 Standard Rooms (28m2)
· 27 Business Class Rooms (28m2)
· 7 Suites (67m2)
The Radisson Blu Hotel and Spa, Cork is located approx. 9km east of Cork City at the Little Island interchange on the N25, only 4km from the Jack Lynch Tunnel. It is adjacent to the 120 acre East Gate Business Park, which is home to leading corporates including Eli Lilly, Gilead Sciences, Laya Healthcare, Tyco and Pepsi. The business park also accommodates big box retailers and car showrooms including BMW and Mercedes. Other notable employers in the wider area include Dell, EMC2, Johnson and Johnson, Schering Plough and Stryker Ireland. Nearby leisure facilities include Fota Wildlife Park and Cork Golf Club. The proximity to Cork, local businesses, the excellent road network and superb facilities of the Radisson Blu Hotel and Spa, Cork supports strong leisure and non-bedroom business and the hotel is well established in both the wedding and conference markets.
Savills successfully completed the sale of five hotels in Cork and Kerry since November 2012 including;
· The 4 Star, 182 bedroom, River Lee Hotel which transacted in the region of the €24.5m guide price
· The 4 Star, Parknasilla Resort and Spa, on a 485 acre estate, sold well in excess of the €10m guide price
· The 4 star, 145 bedroom, Cork International Airport Hotel transacted in excess of €5m
· The 5 Star, 66 bedroom, Sheen Falls Lodge Hotel in Kenmare sold for €5m