Business

Citywest will not reopen to guests until 2022 due to HSE contract

The country’s largest hotel, Citywest will not be reopening to guests until 2022 due to its continuing role in the HSE effort against Covid-19.

A spokesman for the Citywest hotel group confirmed the HSE contract with the hotel has been extended and is now not due to expire until early 2022.

New accounts show that the Citywest hotel group returned to an operating profit last year after the initial €21 million deal with the HSE to use the hotel as a Covid-19 isolation centre.

The 756 bedroom Citywest temporarily ceased to operate as a hotel in March 2020 and in recent months has also operated as one of the HSE’s main vaccination centres.

Operating profit

Accounts filed by Alva Glen Investments Ltd and subsidiaries show the Citywest hotel group recorded an operating profit of €3.34 million for 2020 after recording an operating loss of €222,599 in 2019.

Hotel firms here are generally reporting a 70pc to 80pc drop in revenues for last year due to Covid-19 shutdowns.

However, revenues at the Tetrarch Capital-owned Citywest hotel group declined by only 7.5% from €30.6 million to €28.3 million last year that included revenues from the HSE deal.

The business recorded a pre-tax profit of €244,496 in 2020 after interest payable charges of €2.96 million and a non-cash property write-down of €140,000 were incurred. The group recorded a post tax loss of €70,185 after paying out €314,681 in corporation tax.

The directors state that the group had significant capital costs in respect of the HSE licence agreement.

They also reveal that “the HSE had an option to occupy another building in the Citywest campus which the group made fit for habitation at a cost of several million euro, however, the HSE did not ultimately take up this option”.

The directors state that they have not availed of any Government supports in relation to Covid-19 in 2020.

The Citywest Hotel Group spokesman said: “As international travel for both leisure and business returns, we are optimistic that Citywest Hotel is set for a return to the strong position it held pre-Covid.

He added: “We are seeing a positive rebound in enquiries from the domestic market as pandemic restrictions ease substantially. We look forward to welcoming back our loyal customer base from next year and are now preparing for this.”

A HSE spokeswoman confirmed on Thursday that 428,622 Covid-19 vaccines have been administered in the Citywest Vaccination Centre since opening on March 3rd.

The HSE spokeswoman stated that the Citywest facility is currently being used for vaccination, testing and self-isolation.

She stated that the ability is also being used for rehabilitation; cardiac rehab; ophthalmology; waiting list initiative for orthopaedics; antenatal clinics for The Coombe Women & Infants University Hospital along with HSE training as needed.

Source:

www.breakingnews.ie

Show More

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button