Lenehans Bar & Grill, a south Dublin eatery co-owned by former newspaper editor Fiona McHugh, has closed and is expected to be put into liquidation following a failed attempt at restructuring the business, it is understood.
The restaurant in Rathmines, Dublin 6 on the site of the old Lenehans hardware shop, opened in 2019 but it is understood that its finances have suffered in the wake of the pandemic and also the energy cost crisis. A note on the front of the restaurant said: “Unfortunately, Lenehans has had to close as of today. We are very grateful for everyone’s business so far and apologies for any inconvenience caused.”
Padraic Bermingham, an insolvency expert with OCC Accountants, was appointed in August to advise Josta, the company behind the restaurant, on a planned restructuring under the State’s new Scarp (Small Company Administrative Rescue Process), a low-cost alternative to examinership. However it is understood a decision has been taken by the company to enter liquidation.
Josta is co-owned by Ms McHugh and her husband, developer Paul Byrne, who each control 45 per cent of the business. The other 10 per cent is owned by Peter Costigan, a bond trading specialist with stockbroking firm Cantor Fitzgerald.
Mr Bermingham made no response to requests for comment, while Josta was unavailable for comment.
Ms McHugh, a former editor of the Irish edition of the Sunday Times, was a co-founder of the successful Dublin restaurant and food retail chain, Fallon & Byrne. She left the Sunday Times at the height of the Celtic Tiger years to start the business, which initially operated from a flagship outlet in Exchequer Street in the city centre.
Fallon & Byrne subsequently expanded with a major retail and food service outlet in the Swan Centre in Rathmines. That venue closed in January 2020, while Ms McHugh and Mr Byrne subsequently exited the business.
Restaurants have reported huge cost increases in recent months, with energy bills escalating and a staffing crisis forcing many business owners to pay higher wage rates.
