POWERSCOURT HOTEL

  • The hotel was a new build and opened in October 2007.
  • It was branded Ritz Carlton and was managed under a Ritz Carlton Management Agreement (so local expertise was absent).
  • The hotel entered into the process of examinership in November 2012 and a liquidator was appointed in February 2013.
  • The hotel was bought by Midwest Investment at a low cyclical point in the GFC.
  • A distressed asset bought at considerably below replacement value.



INVESTMENT STRATEGY ACHIEVED

  • The initial focus was to reduce the cost base and to correctly position the property in the upscale market.
  • Hotel was rebranded from Ritz Carlton Enniskerry (the brand had high cost of operation) to Powerscourt Hotel (unbranded) and the management agreement was terminated.
  • Costs were removed by restructure Admin and General; F&B; Rooms and front of house
  • Payroll costs were further optimised with the introduction of tight payroll manning levels, along with Payroll software to ensure labour-scheduling targets were delivered and reviewed.