It is Alleged that Coveney, and Leo the Leak, are calling an Emergency Cabinet Meeting, to Bail out the MerrionGate hotel of such fame; it is the least they can do. Do not tell the Puppet Martin.

Posted by

Luxurious 5-star Merrion Hotel plunges into the red

 3 hrs ago


The luxurious 5-star venue for the infamous ‘Merriongate’ reception plunged into the red last year due to COVID-19, new accounts show.© Provided by Extra.ie

The Merrion Hotel recorded a pre-tax loss of €4.06million after recording pre-tax profits of €2.82million in 2019 – a negative swing of €6.88million.

The losses came after revenues decreased by €8million, or almost 32%, from €25.6million to €17.5million in the 12 months to the end of October last year.The luxurious 5-star Merrion Hotel plunged into the red last year. Pic: Brian Lawless/PA Wire© Provided by Extra.ie The luxurious 5-star Merrion Hotel plunged into the red last year. Pic: Brian Lawless/PA Wire

However, the drop in revenues would have been far greater but for the company recording €6.28million in apartment sales last year with no income recorded under that heading in 2019. With COVID-19 shutdowns, the company’s revenues from accommodation plummeted by almost 66% from €15.76million to €5.4million while revenues from ‘food and beverage’ reduced by 43% from €8.6million to €4.89million.

Over the summer, the controversy around Katherine Zappone’s botched appointment for a UN special envoy role was dubbed ‘Merriongate’ after the former minister said she would not be taking up the role when it was revealed that she had held a large social event outdoors at the Merrion Hotel in July, which Tánaiste Leo Varadkar attended.

The ‘Merriongate’ controversy has dogged the coalition Government since.The Merrion Hotel recorded a pre-tax loss of €4.06million after recording pre-tax profits of €2.82million in 2019 – a negative swing of €6.88million. Pic: Brian Lawless/PA Wire© Provided by Extra.ie The Merrion Hotel recorded a pre-tax loss of €4.06million after recording pre-tax profits of €2.82million in 2019 – a negative swing of €6.88million. Pic: Brian Lawless/PA Wire

The classic Georgian building sits opposite Government Buildings in central Dublin, and has long been a hotel of choice for a host of Hollywood A-listers and music stars visiting the capital.

The 142-bed hotel is co-owned by the Hastings Hotel group and businessmen Lochlann Quinn and Martin Naughton.

The accounts show that since the year’s end, Mr Quinn has transferred his 25% shareholding to his children.The luxurious 5-star hotel was the venue for the infamous ‘Merriongate’ reception. Pic: Sam Boal/RollingNews.ie© Provided by Extra.ie The luxurious 5-star hotel was the venue for the infamous ‘Merriongate’ reception. Pic: Sam Boal/RollingNews.ie

The directors say the business was adversely affected by COVID-19 and state ‘we believe we can recover revenue streams and regain profitability when vaccinations are widely provided’. The main activity of the business is the hotel, along with the sale and leasing of property.

Numbers employed by the hotel – which houses the two-Michelin-star Restaurant Patrick Guilbaud – last year reduced dramatically from 327 to 206, with staff costs reducing from €10.6million to €6million.

The figures show that 61 staff are in management and 145 in other hotel roles.

The profit last year takes account of non-cash depreciation costs of €1.84million.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s