Shelbourne hotel operations firm sees €43.69m gain from selling the hotel
Gordon Deegan
The former US operator of the five-star Shelbourne hotel in Dublin booked a €42.82 million gain from the sale of the hotel’s trade last year.
It is revealed in new accounts for KW Shelbourne Ops Ltd, which shows that prior to the completion of the sale of the Shelbourne Hotel on October 31st, 2024, the hotel firm recorded revenues of €43.69 million.
The revenues of €43.69 million for the 10 months compared to revenues of €52.69 million for the prior 12-month period.
The Shelbourne, which opened its doors in 1824 and is located overlooking St Stephen’s Green, was acquired by Archer Hotel Capital in 2024 from US property giant Kennedy Wilson for a reported €260 million, which included the prized asset of the 265-bedroom building.
Archer also owns the nearby Conrad hotel.
The €42.82 million gain booked from the sale of the trade of KW Shelbourne Ops Ltd was the chief factor behind the firm recording pre-tax profits of €50.32 million.
The company recorded a post-tax profit of €47.8 million after taking into account a corporation tax charge of €2.43 million.
Underlining the earning power of hotel rooms at the Shelbourne, room revenue last year totalled €29.55 million while other revenue totalled €14.13 million.
Advertised room rates for Friday, November 21st show that the price per bedroom per night ranges from €583 to €1,584.
On the €42.82 million gain, a note attached to the accounts states that on October 31st, 2024, the trade, assets and goodwill of the company were transferred to Archer SB Limited and the consideration amounted to €53.45 million.
The gain of €42.82 million is arrived at after the €53.45 million consideration is less the value of the tangible fixed assets of €4.2 million; stock valued at €398,409, cash of €16.97 million, debtors of €5.72 million offset by creditors of €16.7 million.
The profits last year take account of combined non-cash depreciation and amortisation costs of €5 million.
The directors state that the company is now dormant and has not carried out any trade since October 31st, 2024.
The KW Shelbourne OP Ltd firm operated the Shelbourne Hotel, and the ownership of the fixed Shelbourne property asset resided with another Kennedy Wilson entity.
At the end of December, KW Shelbourne Ops had accumulated profits of €54.4 million. Cash funds reduced from €12.77 million to €2.28 million.
In August, Archer announced a €50 million renovation scheme for the hotel, which will involve renovating 226 of its 265 rooms as part of a year-long refurbishment programme.
The refresh of the Shelbourne’s guest rooms – specifically the queen, deluxe, and heritage premium categories – is to be led by Kenmare interior designer Bryan O’Sullivan, whose previous projects include work on Claridge’s, The Connaught, and The Berkeley hotels in London.
