iNua Hospitality Completes Refinancing of Eight Hotels Across Ireland

CBRE’s Debt and Structured Finance team has advised the Irish hotel owner and operator iNua Hospitality PLC on the refinancing of part of their portfolio. The portfolio comprises eight 4- and 5-star hotels located across Ireland and represents a total of 864 beds.

The refinancing was provided by a group of lenders, including AllianceBernstein and Earlsfort Capital Partners (Earlsfort). The portfolio comprises the Radisson Blu Hotel & Spa, Sligo, the Hillgrove Hotel & Spa, Monaghan, the Tullamore Court Hotel, the Kilkenny Hibernian Hotel, the Radisson Blu Hotel & Spa, Cork, the Radisson Blu Hotel & Spa, Limerick, the Radisson Blu Hotel & Spa, Athlone and the Muckross Park Hotel & Spa, Killarney.

Group revenues reached €64.5 million in 2022, up 13% on pre-Covid revenues. The hotels within the group have strong loyalty in domestic leisure, corporate and international markets and will host 370 weddings this year. This year, the group plans to invest over €2 million in the refurbishment of bedrooms, enhancing hotel facilities and sustainability initiatives.

Sean O’Driscoll, CEO of iNua Hospitality PLC, comments: “We are very pleased to have completed this refinancing with AllianceBernstein and Earlsfort and look forward to working with them. The eight hotels in the group all recovered well post-Covid, and we continue to experience very strong demand in 2023, with group occupancy of 82% in the first half of the year, and revenues up 23% on the previous year.”

Paul Brophy, Managing Director, Earlsfort, said: “We have known the iNua management team since our original funding of this portfolio in 2018.  During this time, they have proven themselves to be skilled operators and we are excited to continue this relationship as they advance their growth strategy for the hotels over the coming years.”

Stephanie Muller, Director, Debt & Structured Finance at CBRE, added: “We are delighted to have obtained this refinancing on behalf of iNua Hospitality PLC for their portfolio. This transaction further demonstrates appetite from the lending market to support established sponsors with robust operating businesses. Through a comprehensive analysis and relevant representation of our client’s operational strength and financing needs to the market, CBRE was able to secure the most accretive financing solution for iNua Hospitality.”

iNua were advised by RDJ and Casey Stephenson Group and the lenders by McCann FitzGerald and Taylor Wessing.