- Hotel industry in Ireland has 3.3pc increased occupancy levels
- Irish hotels profits are now higher than at the peak of the market in 2006
- Dublin hotels lead recovery with levels at 80.7pc
The Crowe Horwath Ireland Hotel Industry report has shown a strong year of sales and profit growth for the Irish hotel sector with occupancy levels increased by 3.3pc points nationally to 71.1pc as all regions benefited from stronger levels of demand.
Other findings of the report are that profit levels for Irish hotels are now higher than levels achieved at the peak of the market in 2006. Average room rates have also increased by 12pc to €92.15. All key metrics for the sector have recorded improvements.
Dublin hotels lead the recovery in the sector with occupancy levels at 80.7pc up from 77.2pc in the previous year. The average rate charged for a room in Dublin is now €111.83, up from €97.25 on the previous year, representing a 13pc annual increase.
The five-star market and larger hotels also benefited from an increase in demand which allowed these hotels to yield a higher average room rate and stronger profit levels.
Aiden Murphy, a partner with Crowe Horwath, has overseen the production of the Annual Hotel Industry Survey for the last 18 years.
Murphy noted that the profit level within the hotel sector is now at a sufficient level to support the development of new hotel builds in Dublin and extensions to hotels outside of Dublin. The Dublin hotel sector has been dealing with capacity issues for some time and new room supply is required to deal with increasing demand levels.
- See report here
