SUPERMAC’S boss Pat McDonagh, who has bought the Castletroy Park Hotel in a deal worth in excess of €3m, is promising to invest in the premises in the coming months.
The deal to sell the hotel was finally completed last Friday after long negotiations between the Galway businessman and the vendor.
The deal was due to close late last month, but was held up due to negotiations between the parties.
The four-star hotel, which was opened by President Mary Robinson in 1991, was owned by CPH Investments Limited, a subsidiary of parent company Fordmount Property Group Limited, which has been in receivership for some time. Bank of Scotland Ireland held a charge over the hotel and sanctioned its sale for a figure just in excess of €3m.
The operating company set up by the Carlton Hotel Group to manage the hotel was put into liquidation last week, which delayed the deal’s completion somewhat. Carlton are not being retained to manage the hotel.
Mr McDonagh said after the deal was completed that he intends to invest in the hotel “over the next couple of months” and said he was “looking forward to seeing old customers back there”.
“It is all systems go from here on in,” said the businessman. “We are delighted that it finally got over the line and are looking forward to investing in it,” he added.
All of the staff in the four-star, 107-room hotel are to be retained and Mr McDonagh said his intention is to “absolutely” continue the hotel’s operation as it currently is.
“We are delighted that we have retained the staff on board and we look forward to working as a team together and making it a place to be proud to work in and to visit. Castletroy is an icon and it is good to be there,” he said.
“We do intend to invest in it overall, but in the bedrooms especially and some other areas so people will see a few changes over the next couple of months.
“It is a well established hotel, it is very well built, structurally it is 100%, other than needing some modernisation and that is what we will be looking at.”
Joint selling agents Trevor Whelan of Whelan Commercial and Gordon Kearney of Rooney Auctioneers said the sale “demonstrates that demand exists in the hotel market for well-priced established businesses such as the Castletroy Park”.
Mr Whelan, who now works for DTZ Sherry Fitzgerald in the city, noted that there was a number of parties interested in the hotel due to the “diversity of income streams coming from the property which has a gym, spa, conference centre and 107 bedrooms”.