Cork City is Ireland's second largest city and the capital of Irelandâ€™s southern region, with a combined population of 199,000 rising to over 500,000 within a 60.0km radius.
The city is home to Irelands second largest airport and port, major universities such UCC and CIT (combined part-time and full-time student population of over 33,000) and a long list of international companies including Pfizer, GlaxoSmithKline, EMC2, Apple and Amazon.
Modern Iconic Hotel Property:
The Clarion Hotel is located at the heart of Corkâ€™s premier business district, City Quarter in Lapps Quay.
Adjacent to South Mall and overlooking the south channel of the River Lee, Lapps Quay is home to leading global corporates such as EY and Deloitte.
Designed by Scott Tallon Walker and opened in 2005, the Clarion Hotel houses a signature glass atrium and extensive service offering including 191 fully air-conditioned, elegant modern guestrooms offering private balconies and unrivalled views over Cork City.
Strong Income Stream:
The hotel and conference centre are currently operated by the tenant, Merzolt Limited t/a Choice Hotels Ireland, under 3 institutional grade 35 Year FRI upwards only leases (with almost 25 years unexpired) at a total current rent of €2.402 million.
At the guide price of €30 million, this represents a net initial yield of 7.66%.
Rental increases are linked to the current market rent of the hotel and the hotel is currently â€œrack rentedâ€.
We consider there to be significant scope for further rental increases during the years to come with the next rent review set for December 2016/January 2017. The hotelâ€™s strong income stream and investment value is further underpinned by a significantly higher vacant possession value at the property.
Excellent Growth Potential:
The Clarion Hotel Cork offers significant growth potential, with the Cork hotel operating market currently experiencing unprecedented levels of trading performance growth. According to STR Global, RevPAR performance in Cork incre ...