Downey Group acquires iconic Derry pub in multi-million deal

One of Derry City’s most iconic pubs has changed hands in a high-profile acquisition by the Downey Group, adding to the family’s growing hospitality empire across Northern Ireland.

The Downey Group, headed by brothers Henry, Seamus, and John Downey, has officially taken ownership of Peadar O’Donnell’s, a well-known traditional music pub on Waterloo Street. The deal also includes The Gweedore Bar and the adjacent nightclub, Fifty Seven Waterloo St.

Though the transaction amount remains under wraps, industry sources suggest the combined sale was valued at just over £5 million. The deal sees the Downeys take over from previous owners Phil Nolan and William McGuinness, brother of the late Martin McGuinness, who are understood to be stepping away from the hospitality sector.

This latest move adds another high-profile property to the Downey Group’s portfolio, which now spans multiple venues across Belfast and Derry. In addition to this new purchase, the group owns sites such as McHugh’s, Hellcat Maggies, 21 Social, and The Kitchen Bar in the capital, along with Derry’s Metro and another branch of The Thirsty Goat.

The group has been steadily growing its presence, with the recent acquisition of Kelly’s Cellars in Belfast marking a similarly significant investment. They also sold a pub in Magherafelt to another Derry-based hospitality family, the McGlones, last year.

Peadar O’Donnell’s, named after the Irish republican and writer, has long been a favourite with locals, tourists, and musicians alike. Known for its intimate traditional music sessions and buzzing atmosphere, the venue has earned a reputation as a cultural cornerstone of the city.

With this deal, the Downey Group further cements its role in shaping Northern Ireland’s modern pub scene—bringing a mix of legacy and innovation to some of the region’s most iconic watering holes.