PRE-TAX LOSSES INCREASE AT CITY HOTEL FIRM

Date Published: 19-Dec-2012

Pre-tax losses at the firm behind the four-star Radisson Blu city hotel built by the developer, Bernard McNamara, more than doubled last year to over 504 thousand euro.

According to the Irish Examiner, Mr McNamara, through his firm, Shorelark Ltd, constructed the Galway Radisson Blu hotel and new figures show losses at the firm increased by 139%.

The figures reported show that losses at the firm increased from over 210 thosuand euro to over 504 thousand in the 12 months to the end of December last year.

This followed the firm’s gross profit declining from €11.8m to €11.1m last year.

Rezidor Hotels — under the Radisson Blu brand — operate the 272-bedroom hotel on Shorelark’s behalf.

Mr McNamara resigned as a director of Shorelark in Feb 2011.

A note attached to the accounts states that "the hotel continues to generate operating profits before rent despite the difficult environment facing the hospitality sector.

It adds that the directors are optimistic that the profitability of the hotel will continue despite the poor economic conditions.