US buyer snaps up Slieve Donard hotel for £40m

US buyer snaps up Slieve Donard hotel for £40m

One of Northern Ireland’s landmark five star hotels has been sold to an American buyer in a deal understood to worth in the region of £40m.

The Slieve Donard in Newcastle, a jewel in the crown for the Hastings Group, has been snapped up by US property investment giant AJ Capital Partners, a Nashville based firm with a keen interest in golf hotels.

The acquisition leaves the family-owned Hastings business with six hotels in Northern Ireland – Belfast’s Europa, Stormont, Grand Central and Culloden, along with the Everglades in Londonderry and the Ballygally in Larne.

Hastings Hotels managing director Howard Hastings, below, said: “AJ Capital Partners’ acquisition of the Slieve Donard Resort and Spa is encouraging news for hospitality and tourism in Northern Ireland and, in particular, for the burgeoning golf tourism industry here – which has been an important driver of local tourism in recent years and shows significant growth potential in the future.

“This investment is a strong sign of confidence in the local market by a major international hotel operator with exciting ambitions for the Slieve Donard Resort and Spa in the coming years.

“I have every confidence that AJ Capital Partners will be sympathetic to the heritage of the hotel and that, under their leadership, it will continue to flourish and maintain its reputation as an iconic destination in Northern Ireland.”

The sales comes 50 years after the late Sir William Hastings acquired the Slieve Donard in a deal to buy six run-down former railway hotels.

AJ Capital Partners, which is headed by Benjamin Weprin,  is understood to be have been attracted to the deal due to the hotel’s location, right next to the famed Royal County Golf Club – a course consistently ranked among the top five in the world which draws high-spend tourists from across the world.

Royal County Down is nestled next to the five star hotel Pic: Discover Northern Ireland

The Slieve Donard will be now be operated under the same name as the Scotland hotels, Marine & Lawn Hotels & Resorts.

Hastings Hotels confirmed that all current roles are to be retained while hotel vouchers and gift cards can also continue to be used at the Slieve Donard Resort and Spa or any other Hastings hotel.

Benjamin Weprin Leprin said: “We are honoured to welcome Slieve Donard Resort & Spa to the Marine & Lawn collection.

“It’s a tremendous responsibility and honour to be the next steward of this timeless asset.

“The Hastings family has held that distinction for nearly 50 years and we plan to carry and uphold the tradition and spirit of this iconic property and connect it with our existing assets to create a collection unparalleled in the golf world.”

In May, Hastings Hotels Group reported a loss of £16.6m as the Covid-19 pandemic took its toll on the group.

It had a turnover of £25.1m in the year to the end of October 2020, down from £49.4m.

Its annual report and financial statements also state that the business has carried out a restructuring. Company subsidiary Moyola (Cellars) sold its interests in the trade and assets of the hotels to other new subsidiaries in the group.

The loss of £16.6m followed pre-tax profits of £5.6m the year before. Net assets were down from £50.3m to £33.4m.

The results were also affected by an impairment charge of £5.3m — representing a sum set aside for bad debts.