Irish hotel owner and operator iNua Hospitality has completed the refinancing of a portfolio of eight 4- and 5-star hotels across Ireland.
The refinancing was provided by a group of lenders, including Alliance Bernstein 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.
Nua said its hotels have continued to recover well post-pandemic, noting that group revenues reached €64.5 million in 2022, up 13 per cent on pre-Covid revenues. It added that it plans to invest over €2 million in the refurbishment of bedrooms, enhancing hotel facilities and sustainability initiatives.
Why it matters
iNua’s success in the refinancing of a portfolio of eight hotels indicates lender confidence and interest in the hotel sector despite ongoing uncertainty in the financing landscape. It also highlights lenders’ willingness to support established businesses with a good operational track record and is a positive sign for those companies in similar circumstances approaching refinancing.
What they said
Sean O’Driscoll, CEO of iNua Hospitality PLC said: “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 per cent in the first half of the year, and revenues up 23 per cent on the previous year.”
Paul Brophy, managing director of 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 and 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.”