PREM Group Sell Premier Suites Plus Ballsbridge
Irish hotel owners and operators, PREM Group has sold its 49-unit Premier Suites Plus Aparthotel in Ballsbridge, Dublin in a deal reported to be worth in the region of €17.5 million. PREM Group have also agreed to a 35-year leaseback deal, which represents the first sale and leaseback in the aparthotel space in Ireland. The multi-national hotel giant, PREM Group will continue to operate the aparthotel under its Premier Suites brand on behalf of the new owners.
The Premier Suites Plus Aparthotel is centrally located on Merrion Road in Ballsbridge, within minutes of the RDS, Aviva Stadium, AIB Bank Centre and Sandymount Dart Station. The 49 apartment suites offer a range of accommodation options, including executive rooms, studio suites and one- and two-bedroom suites, which were all newly built in 2014. The one- and two-bedroom suites also have a living room and fully equipped kitchen. The sale of the Dublin property is another big transaction for PREM Group, which recently purchased the Aspect Hotel in Kilkenny. The group has also carried out major renovations on a number of its hotels throughout Ireland over the past 18 months including The Osprey Hotel, Naas and Cahernane House Hotel, Killarney. PREM Group pioneered the serviced apartment model in Dublin with their first Premier Suites which opened over 20 years ago. The Premier Suites and Premier Suites Plus brands are owned and operated by PREM Group and offer an alternative to traditional hotel accommodation and are very popular with longer stay guests and business travellers. The group is a specialist owner-operator of hotels and serviced apartments and manages 50 properties with a total of 4,500 bedrooms across Ireland, the UK, Belgium, France and The Netherlands, ranging from the budget sector to luxury hotels.
Speaking about the sale of the property, Jim Murphy, CEO of PREM Group, said; “We are delighted to secure the sale of the Premier Suites Plus property in Ballsbridge to Aviva Investors, and we are equally happy to continue to run and manage the property. Premier Suites in Ballsbridge has been very successful for us in recent years and is proving to be an excellent choice for long stay and business travelers. We developed this business model in Ireland some 20 years ago and have since opened other Premier Suites in several large cities in Europe. We recently opened a Premier Suites property in Belgium in the heart of Antwerp’s Diamond district on the 1st September, making it the first Premier Suites property in Belgium and brings the number of aparthotels which we operate now to fifteen.” The proceeds of the sale of Premier Suites Ballsbridge will be used to grow hotel operations and PREM is looking to grow the turnover from €70 million to over €100 million in the next 18 months. “We sold Premier Suites in Ballsbridge because the market conditions were right, we didn’t need to sell it and are happy to lease it back as it’s an excellent business and one which we know very well. We are actively looking for opportunities which will be complimentary to our current pipeline and would certainly consider future acquisitions in northern Europe. PREM has pedigree in managing properties on behalf of hotel owners and our managed properties are performing very well which makes us an attractive option for an investor to run and operate their property.” Dave Murray, Director, CBRE Hotels, Ireland who handled the sale of Premier Suites Plus Ballsbridge said, “CBRE are delighted to have completed the sale and this deal shows the huge interest that the capital markets have in the hospitality space in Europe.”