Industry & Business

JLL Predicts a Buoyant Year For Ireland’s Hotel Industry

 Breaking News
  • Fine Grain Property acquires 60,000 square feet office development in Cork Airport Business Park New Year, new acquisition! Fine Grain Property is delighted to announce it has acquired a 60,000 square feet office development in Cork Airport Business Park. Plans are already afoot to carry out some important improvements to the Building that will benefit its existing tenants, including Aviva, Aon Hewitt, JLT and Genesis. In addition, a significant [...]...
  • Irish Technology Sector Has Overtaken Agriculture With 130,000 people now employed, the technology sector has overtaken agriculture as Ireland’s largest industry, according to Ken Finnegan (pictured above), formerly Chief Technology and Research Advisor for IDA Technology Ireland and now Director of Technology & Innovation for the about to be opened Harbour Innovation Campus at Dún Laoghaire. About 15,000 of these tech [...]...
  • 2018 Research and Innovation Conference & Exhibition Provides Insight into the R&D and Innovation Ecosystem in Ireland Designed to foster collaboration between industry, academia and government agencies, the 2018 Research and Innovation Conference & Exhibition attracted over 1,000 visitors from across the major industrial sectors in Ireland to the Citywest Hotel, Dublin, on Wednesday, March 14th. The visitors who braved the inclement weather were able to meet with the key organisations that are [...]...
  • Dunnes Stores Comes Out on Top of a Growing Grocery Market The latest grocery market share figures from Kantar Worldpanel in Ireland, for the 12 weeks ending 25 February 2018, show continued positive momentum among Irish supermarkets, with growth hitting 3.9%. David Berry, director at Kantar Worldpanel, comments: “Shoppers have spent an additional €96 million on groceries over the latest 12 weeks compared to last year and two [...]...
  • New Irish Peer-to-peer Energy Trading Research Project Using Blockchain Technology Imagine a future where Irish consumers will be able to gift or sell their solar power across their neighbourhood as well as sharing and managing their own electricity in a myriad of new ways. EnerPort, a new project launched at the recent International Energy Research Centre (IERC) Annual Conference, aims to accelerate peer-to-peer energy trading [...]...

JLL Predicts a Buoyant Year For Ireland’s Hotel Industry

JLL Predicts a Buoyant Year For Ireland’s Hotel Industry
January 11
10:23 2018

What does 2018 have in store for the Irish Hotels Market? JLL expects approximately 1,300 new hotel rooms to open in Dublin City, representing a +6.0% increase in current room supply. The first new hotel to open will be the Iveagh Garden Hotel (pictured above), which opens this month on Harcourt Street.

The summer will also see another hotel from Paddy McKillen’ s Oakmount/Press-up, with the opening of the much-anticipated Devlin Hotel in Ranelagh due end of June. Other notable hotel openings will be the city’s first Aloft and the Clayton Charlemont. Good news for hoteliers, Dublin City Centre now achieves one of the highest occupancies in Europe currently at 84%.

The level of hotel transaction activity fell in Ireland by -30% in 2017, compared to that of 2016. With Ireland’s legacy receiverships now coming to an end and fewer distressed hotels assets remaining, JLL predicts a hotel investment level of approximately €500 million for 2018. This represents 15-20% of the total long term average commercial property market volumes in Ireland. Whilst this level of transactional activity is down on previous years, it reflects a return to the long term average. In addition, long term average price per key for Irish hotels, a key value metric, is still -28%below peak levels.

Commenting on the report, Dan O’Connor Senior Vice President of Hotels at JLL, said: “Whilst these figures are fantastic for the industry, the biggest challenge facing the Irish hotel market is BREXIT. Ireland is experiencing a decline in UK visitation and UK demand may weaken further as the British consumer faces into higher inflation and economic headwinds in 2018. We will really rely on the Irish tourism industry’s ability to minimise BREXIT effects, whilst continuing to win more market share from the buoyant US and mainland European markets in order to ‘plug the gap’.  This will be watched closely in 2018.”

Dublin Airport Central.

Whilst the capital’s hospitality offering will remain buoyant, the greater Dublin Area and further afield, will also see strong growth and activity through-out 2018. JLL predicts significant ‘first mover’ advantage in hotel development in Galway City Centre, and new Galway hoteliers, who are open in time for its status as European Capital of Culture in 2020, will reap the rewards.

Dublin airport is experiencing unprecedented levels of passenger growth and its catchment is under-supplied in terms of hotel rooms. With plans for a new northern runway and an expanding office campus, there are exciting airport hotel development opportunities ahead. Already on site and due for completion is Dublin Airport Central, which will see over 41,000 sq metres of Grade A office space, in the heart of the airport. This should further boost airport hotel demand.

There also remains significant value on offer outside of Dublin City Centre and hotels can still be acquired below replacement cost, both along the M50 belt and across provincial Ireland. Savvy buys in 2018 will include large provincial hotels and resorts, dominant within their catchments.


  • +6%  – Increase in Dublin room  in 2018 supply. With a 20% increase by 2020.
  • 84 % – Dublin City now achieves one of the highest occupancies in Europe.
  • -30% – 2017 saw the level of hotel transaction activity falling by -30%, but JLL still forecasts a robust €500M of hotel transactions in 2018

About Author



Related Articles

New Subscriber

Subscribe Here


National Manufacturing Conference & Exhibition 2018

NIBRT Springboard Success Stories

Upcoming Events

  • No upcoming events
AEC v1.0.4