DUBLIN-BASED investment group Quinlan Private has sold its interest in a four-star hotel in Frankfurt, netting a tidy profit in the process.
Quinlan Private, led by Irish financier Derek Quinlan, declined to disclose financial details relating to the transaction. But it is understood that the private equity group achieved a 15 per cent return for its investors on the acquisition cost of the hotel. This suggests a sale price of close to €40 million.
The sale will no doubt please Mr Quinlan’s investors at a time when few deals are being closed due to the global credit crunch and the recession in Germany.
The property is run by the NH hotel chain and is believed to be one of its best-performing properties. Quinlan bought the hotel in July 2007 as part of a 50/50 joint venture with Fom Real Estate, a German project developer.
The pair paid almost €60 million for a complex that comprised the hotel and an office block.Thomas Dowd, a partner with Quinlan Private, said they would “now focus on continuing to maximise shareholder value from the remaining portion of the asset”.
He added that Quinlan Private would “look at further investment opportunities with Fom”.
