A LIMERICK property development company owned by one of the country’s best-known developers and hoteliers, Jerry O’Reilly, incurred a loss of €9.28 million in 2009.
Accounts just filed with the Companies Office show that Kings Island Developments Ltd recorded the loss to the end of December 2009 due to property write-downs and having loans written off.
The figures show that the losses relate to property write-downs of €3.1 million and writing off a loan of €5.7 million that was due to be repaid by parent company, Gamine Trading Ltd. The company had accumulated losses of €4.64 million at the end of 2009.
A native of Kerry, Mr O’Reilly owns the Absolute Hotel in Limerick and Aghadoe Heights Hotel in Killarney, Co Kerry. A business partner of developer Bernard McNamara, Mr O’Reilly has interests in Dublin’s Shelbourne Hotel and Galway’s Radisson Blu Hotel.
A note attached to the accounts for Kings Island Developments Ltd states: “The company in line with many other companies involved in the property sectors is trading through extremely difficult conditions, but continues to work proactively with its lending institutions. The company’s loan facility letter expired in April 2009. However, the directors are in discussions with the financial institution and have not been made aware of any cessation in the existing facilities.”
The company had bank loans repayable within five years totalling €6 million at the end of 2009.
