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Thursday 14 November 2019

Dallas billionaire's group pays €50m for Portmarnock hotel

Mr Gaglardi
Mr Gaglardi

The Portmarnock Hotel and Golf Links in north Dublin has been sold for about €50m to a Canadian group that was established by billionaire Bob Gaglardi.

The property, which includes the ancestral home of whiskey distiller John Jameson, boasts a links golf course that's frequently mentioned as being among the best in Ireland.

The acquisition by the Canadian group Northland Properties marks its first foray into Ireland. It owns properties across Canada, the United States and the UK.

In 2011, Mr Gaglardi and his son Tom bought the Dallas Stars hockey team in a $240m (€217m) deal. The team were bankrupt at the time.

The Portmarnock Hotel was sold by US property giant Kennedy Wilson, which has extensive property interests in Ireland. It also owns the Shelbourne Hotel.

Links

It had acquired the Portmarnock property for €27m in 2014 from Nama.

It invested about €11m refurbishing the property, the golf links being designed by German golfer Bernhard Langer. It opened in 1995.

Nama appointed a receiver in 2011 after the hotel's previous owner, Capel Developments, struggled with €100m of debts.

A subsidiary of Capel Developments, Natworth, had slashed €3.3m off the value of the north Dublin hotel in 2009.

This brought its market value at the time to as little as one-quarter of its €70m price tag in 2005, when it was purchased by Capel Developments following competition from developer Gerry Gannon and Treasury Holdings.

Before being acquired by Capel Developments, one-time investors in the hotel included Tony O'Reilly. He invested in 1994, when it was owned by other investors including hotelier Michael Holland, and Mr O'Reilly's financial adviser, Brendan Gilmore.

The hotel has 134 rooms, and also features a spa. It generated revenue of €11.1m last year, and a €340,000 profit.

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