A Quality Solution: Management Team bring Killarney Hotel back to life

A Quality Solution: Management Team bring Killarney Hotel back to life

16 March 2009

Just two months after the shock announcement of the closure of the Quality Resort Killarney, with the loss of jobs and trade for the town, the business has been given a lifeline.  The former GM, Patrick Dillon and Financial Controller, Paul O'Shea have negotiated a deal with Hepton Developments, the owners of the property, to take over the franchise of the hotel on a long lease, and will re-open on Thursday 9th April, securing 60 jobs initially for Killarney, growing up to 200 jobs in high season.

At today's announcement Patrick Dillon stated "When we got over the initial shock of the closure news, Paul and I knew we had a choice.  Dig out our CV's or see if there was any way to re-open the hotel ourselves.  We were also aware that there was interest from other parties so we thought, why not us?  Between my 20 years experience in the hotel industry and Paul, who is a Management Accountant with more than 15 years experience, and between us 7  years experience at the hotel,  we prepared the figures that formed the basis of a proposal which we put to Hepton Developments, to take on the lease of the Property." Patrick and Paul have formed a new Management Company, Laethanta Saoire Ltd. Paul O'Shea who "crunched and re-crunched all the numbers" stated "after some tough negotiations with Hepton Developments we agreed a commercially viable rent for both parties, which excludes trading the older rooms in the property.  We knew that these older rooms were not to a standard that we were satisfied with and ultimately not viable. This was a crucial element to our business model, which we are confident will bring success and stability to the hotel." The new Management Company will continue to trade as the Quality Resort Killarney with its extensive food, beverage and leisure facilities remaining the same.   Patrick added "We have negotiated to keep the brand name - it makes good business sense - Quality Resort Killarney is already established as one of Ireland's leading family holiday destinations, having recently won several prestigious national and international awards."  On how their plan was brought to life, Patrick stated "When we decided to make the bid I approached our key Tour Operators and advised them of our plans and they agreed to honour bookings if we took over the business before a certain time.  With commitment from the Tour Operators we were able to approach the banks, who approved our plans, knowing we had a solid business model and concrete bookings going into 2009." Patrick added "We want to concentrate now on getting the hotel up and running.   We will initially be employing 60 people, which we hope will increase during high season to almost 200.  With our hands-on approach and a tight management team we are confident the business will be a success and that we will secure jobs in the long-term, which will generate over €2 million alone in wages to the area, and another €1 million to suppliers, most of whom will be local." 

"We plan on achieving 40,000 room nights, which will have obvious knock on benefits to the town as a whole.  Our main focus for 2009 will be to concentrate on promoting Value Added Offers, targeting the home family market.  Killarney has an exceptional offering in facilities.  Through our promotions and offers our plan is to promote Killarney as a great family holiday destination - viable at any time of year - a weather proof holiday destination, in one of the most beautiful parts of the country.  We also look forward to welcoming our regular customers back to the Resort, as our repeat business represents over 40% of our trade.  Families have very happy memories holidaying with us and we look forward to helping them create many more happy memories in 2009 and beyond."

There is an old Japanese saying that in times of a storm, people either hide behind walls, or build windmills!  Patrick and Paul have decided on the latter.  Paul ended the announcement by saying "There have been many sleepless nights, but at no time did we question our resolve. This fabulous opportunity is the right move for both of us and we are looking forward to working together with total control over the business.  Patrick and I know we work well together, we know the business inside out, we have confidence in the unique and excellent product offering that is the Quality Resort located in one of the most beautiful parts of the country.  We are now looking forward to a new era for the Resort."

Notes

Honouring of Deposits & Leisure Centre MembershipsAll Booking Deposits will be honoured as well as all pre-paid Leisure Centre Memberships.  The hotel will be opening on the 9th April and all paid up memberships of the Leisure Centre will be honoured in full so members will not lose on any duration. 

Open DayTo recruit the new team at the hotel, Paul and Patrick are organising an Open Day on Monday 23rd March - from 10am to 1pm.  Staff are required in every department so anyone interested in a position should attend on that day, or if they can't attend, post a CV or email to jobs@qualityhotelkillarney.com to arrive by that date.

Opening Dates & Contact DetailsThe hotel will officially re-open on Thursday 9th April.  Bookings are now being taken through the following contact details:-Phone (064) 66 26200; Email reservations@qualityhotelkillarney.com; Web www.qualitykillarney.com