Tetrarch to invest €100m in expanding hospitality division
Property investment company, Tetrarch Capital is to invest €100m in the hospitality, leisure and accommodation market over the next three years.
The firm, formerly known as Brehon Capital, owns the likes of the Mount Juliet, Powerscourt, CityWest and Marker hotels.
It said it plans to create a new division to operate and manage its properties in this area.
Damien Gaffney will be managing director of the new division, which is to be called Tetrarch Hospitality.
He will also take on the role of chief operating officer for the wider Tetrarch Capital group, with Gillian Curran taking on his former role as chief investment officer of Tetrarch Capital.
Mr Gaffney said that the formation of Tetrarch Hospitality is a very exciting phase in the continuing expansion and growth of Tetrarch Capital.
“We’ve made a number of excellent additions to our hospitality and leisure portfolio this year and as we approach 2016 we’re very positive about the opportunity to undertake further compelling acquisitions,” he added.
Tetrarch also said today it plans to invest €25m in a property adjacent to Trinity College in Dublin city, which will be used for a 180 unit apartment hotel.
Aparthotels offer bedroom accommodation of a quality similar to hotels with the added kitchen facilities usually found in self catering properties.
Tetrarch noted that the Dublin aparthotel market is undersupplied and it said it sees very strong latent demand for this type of accommodation from domestic and international travellers, particularly from visiting families.
“All the evidence points to continuing positive trends in the Irish hospitality, leisure and rented residential sectors, particularly for well-managed properties in locations of high demand,” commented the company’s chief executive Michael McElligott.
He said the group experienced double digit revenue growth in all its properties this year, with robust occupancy levels throughout the year.
“The performance of our accommodation estate in 2015 gives us the confidence to make further acquisitions both inside and outside Dublin in 2016 and beyond. We believe our new operating platform will greatly assist in the growth of our portfolio and enhance the quality of our offerings across our various properties,” he added.
Tetrarch Capital, which formerly traded as Brehon Capital until December 2014, is an Irish owned, Dublin based real estate investment and development platform that is particularly active in the office, retail, multifamily / residential, hotel / hospitality and leisure sectors.
