McAleer & Rushe announces new Glasgow hotel project
TYRONE contractor McAleer & Rushe is set to deliver a new four-star Maldron Hotel in Glasgow city centre.
The developer has signed an agreement for lease with the Dalata Hotel Group, Ireland's largest hotel chain for the £30 million project, subject to planning approval from Glasgow City Council.
The proposed 250 bed hotel, with bar, restaurant and business conferencing facilities will be centrally located on Renfrew Street, close to the main shopping district on Sauchiehall Street and is adjacent to the Theatre Royal and a short distance from Buchanan Bus Station.
The major project is due to be delivered by mid-2020 and represents Dalata's first Maldron hotel in Scotland. Once construction is completed, Dalata will operate the hotel under a 35-year lease, subject to five-year rent reviews linked to the Retail Price Index.
The latest McAleer & Rushe project represents a long-standing partnership with the Dalata Hotel Group in delivering hotels across the UK and Ireland and follows the recent announcement of the sale of the planned Maldron Hotel in Newcastle to a major institutional fund, the UK Commercial Property Trust.
Property director at McAleer & Rushe, Stephen Surphlis said the hotel's strategic positioning will support Glasgow's growing economy.
“The announcement of our latest lease deal with Dalata represents the growing confidence in key regional UK cities for hotel operators, particularly in Scotland. This major new four-star Maldron Hotel will be an exciting addition to this dynamic consumer and business hub.
"Working with the Dalata Group we are developing a number of hotel projects across the UK and Ireland and we look forward to partnering with them once again on this new project.”
Dermot Crowley of the Dalata Hotel Group added: "We have a very strong relationship with McAleer & Rushe who are currently building our new hotels in Belfast, Newcastle and Charlemont, Dublin. Today's announcement brings the number of UK hotels in our development pipeline to 5 with a total of circa 1,350 rooms.”