New dispute about development of €25m hotel on Dublin’s James Street

A new dispute over plans to develop a €25 million hotel in Dublin’s James Street has been admitted to the Commercial Court.

Tathony Holdings Ltd, which settled previous proceedings against the last owners in a row over how its neighbouring property would be affected by a hotel development, has brought proceedings against the new owners, Amhola James Street Ltd.

Amhola bought the long-derelict site from James Street Hotel Ltd (JSH) last June for €5.25 million and plans to develop an international hotel on it at a cost of some €25 million.

Tathony, which owns the adjoining Tathony House, had sued JSH claiming an aparthotel development, which JSH got planning permission for, would interfere with its light. That case was subsequently settled and JSH sold the site to Amhola, which plans to develop the property in accordance with the previous permission.

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‘Easement of light’

When Amhola’s contractors moved on site in January 2022 to carry out some tidying up works, this, Amhola says, appears to have prompted Tathony’s new proceedings against it, although the plenary summons was issued last November. Tathony sought a declaration that its property benefits from an “easement of light” and an order preventing any interference with that right.

Kevin Beary, a director of Amhola, says in an affidavit the opposition to the hotel appears to be partly motivated by concerns that it will impede Tathony’s own commercial development plans.

He says development of the site will “substantially enhance amenities in the local area” and create 250 construction and 150 hotel jobs.

He also says Amhola is at an advanced stage of preparedness to commence work on the hotel and hopes to begin work this year. Any delay could jeopardise the development, he said.

The case was admitted by Mr Justice Denis McDonald to the fast-track commercial division of the High Court on Monday on the application of Patrick Leonard SC, for Amhola, with the consent of Tathony.

The judge said the matter could come back to court in April.