Dalata announces first hotel in continental Europe

DUBLIN & LONDON–(BUSINESS WIRE)–Dalata Hotel Group plc (“Dalata” or the “Group”), the largest hotel operator in Ireland with a growing presence in the United Kingdom, announces that it has signed contracts with Art-Invest Real Estate (“Art-Invest ”) to acquire a new operational leasehold interest in Hotel Nikko Düsseldorf. The hotel is owned by Art-Invest and Dalata with the cooperation of the hotel team, today started the transition process and expects to open the hotel to guests on February 15e. This hotel represents Dalata’s first step into the continental European market and fits in with the Group’s ambition to be present in major commercially attractive European cities.

The 4-star hotel is centrally located in Düsseldorf, in close proximity to the Central Business District, the Retail Quarter and the city’s main train station. The property has 393 bedrooms, a bar, two restaurants, a spa, swimming pool, gym and extensive conference and meeting facilities. The hotel has invested a lot in recent years.

Düsseldorf is one of the ‘big seven’ cities of Germany and is a hugely popular destination for both international and domestic visitors, whether for leisure or business purposes. It received more than 3 million visitors in 2019 and recorded more than 5 million overnight stays in that yearI.

The rental price, with a guaranteed minimum, is determined by the hotel’s revenue performance. The rental period is 20 years, with two options for tenant renewal of 5 years.

Dalata Hotel Group was advised on this transaction by CBRE.

Dermot Crowley, CEO of the Dalata Hotel Group, commented: “This announcement represents our first step into continental Europe and is a very exciting opportunity as we work to build our presence in select European cities. While maintaining our focus on growth in the UK, we have also explored opportunities in Europe that are complementary to our portfolio in the UK and Ireland.

I am especially pleased that we have secured our first hotel in Germany in such a central location in Düsseldorf. Hotel Nikko Düsseldorf will be an excellent addition to our Dalata portfolio. A Dalata integration team works with the local hotel team to ensure a smooth transition to Dalata.

This is also the first time we have partnered with Art-Invest and we are delighted to have successfully partnered with one of Europe’s leading hotel investors. We will both continue to invest in the property to ensure it maintains its position as one of the top hotels in the city.

We are grateful to CBRE Hotels Germany and Ireland for their support in entering a new market. We look forward to working with them again on future opportunities in Europe.”

Peter Ebertz, Head of Hotels at Art-Invest, added:: “We are very pleased to enter into a long-term partnership with Dalata to support our ongoing efforts to improve the quality and positioning of the Nikko Hotel, a true Düsseldorf icon. Dalata has been an excellent partner and we look forward to investing in the property together.”

Sabine Lueftenegger, Director of CBRE Hotels Germany concluded: “We are delighted to have assisted Dalata in the opening of their first hotel in continental Europe. The Nikko is a landmark hotel in the heart of Duesseldorf and provides an excellent opportunity for Dalata.”

ENDS

About Dalata

Dalata Hotel Group plc was incorporated in August 2007 and was listed as a plc in March 2014. Dalata has a strategy to own or lease its hotels and also has a small number of management contracts. The Group’s portfolio now consists of 29 owned hotels, 13 leased hotels and three management contracts with a total of 9,495 bedrooms. In addition, the Group is currently developing 10 new hotels and plans to expand three of its existing hotels with more than 2,300 bedrooms. The new rooms bring the total number of bedrooms in Dalata to more than 11,800. For the first six months of 2021, Dalata reported revenue of €39.6 million and an after-tax loss of €30.4 million. Dalata is listed on the Main Market of Euronext Dublin (DHG) and the London Stock Exchange (DAL). For more information, please visit: www.dalatahotelgroup.com


I State Bureau of Statistics

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