Dalata Hotel : Acquisition Announcement - Kevin Street Dublin 26 May 2016

c7a4e849-f0e3-4e58-a43c-79d7f2fd705c.pdf Dalata Announce Purchase of Development Site on Kevin Street, Dublin City Centre

DHG

Dublin, 25 May 2016 | Dalata Hotel Group plc ("Dalata" or "the Company"), Ireland's largest hotel operator is pleased to announce that it has exchanged contracts on the purchase of a hotel development site on Kevin Street, in Dublin City Centre, for a consideration of €8.1 million.

The site at Kevin Street is superbly located at the high profile junction of New Street South and Kevin Street Upper, 600 metres west of St. Stephen's Green. Planning Permission for a hotel development, granted by An Bord Pleanála in November 2015, includes a basement car park of 23 spaces, a reception area, café/bar and restaurant and 137 bedrooms over five floors.

Construction of a Maldron Hotel is expected to commence in the fourth quarter of this year with the aim to have the hotel operational mid 2018. Total investment upon completion will be circa €26.0 million and will result in approximately 70 new jobs when open.

The transaction is expected to complete late May / early June.

Dermot Crowley, Deputy CEO Business Development and Finance, said: "The purchase of this property is a very exciting opportunity for the Company and is consistent with our stated strategy of securing development sites for further new hotels in Dublin. The Dublin hotel market continues to perform very strongly in 2016, and we look forward to this Maldron Hotel contributing significantly to the Company performance in the future."

ENDS

Contacts

Dalata Hotel Group PLC Dermot Crowley, Deputy CEO Business Development and Finance T: +353 1 206 9400 E: dcrowley@dalatahotelgroup.com

Investor Relations & Public Relations FTI Consulting Melanie Farrell Jonathan Neilan T: +353 86 401 5250 E: dalata@fticonsulting.com

Nomad and Broker Davy Anthony Farrell T: +353 679 6363

About Dalata

Dalata Hotel Group plc is Ireland's largest hotel operator, with a current portfolio of 42 three and four star hotels with over 7,700 rooms. Dalata successfully operate Ireland's two largest hotel brands, the Clayton and the Maldron Hotels across Ireland and the UK, as well as managing a portfolio of partner hotels. 20 of the hotels are owned by Dalata, 13 hotels are operated under lease agreements and 9 are operated under management agreements.

For the full year 2015 Dalata reported revenue of €225.7 million. The Group is listed on the Irish Stock Exchange (ESM: DHG) and London Stock Exchange (AIM: DAL).

For further information visit: dalatahotelgroup.com