A 290-bed hostel in Dublin's north city centre will go on sale later today for €9.5 million through property agents JLL. Isaacs Hostel in Dublin 1, is being sold out of receivership having previously entered liquidation in 2012.
The 53-dormitory hostel, located near both Busáras and Connolly Station, opened in 1985 and was housed in a converted 19th century wine store. It has common rooms, a games room, a fully equipped self-catering kitchen, bathrooms on every floor, luggage lockers, and a sauna.
The sale of Isaacs comes after Barnacles Hostel in Temple Bar was placed on the market earlier this year with 171 bed spaces. A portfolio including Barnacles' Dublin hostel and its Galway hostel was valued at more than €11 million. It's understood the Dublin hostel was worth more than half of that.
JLL hotels agent Jack Fox said with Dublin revenue per available room growing by 9 per cent this year, the sale "represents a rare opportunity for hostel investors and operators to acquire Dublin City's third-largest hostel". JLL expects significant international interest for the property.
“Isaacs was developed as Dublin’s first independent holiday hostel and it remains the city’s best-known establishment,” the property company said.
Accounts for the hostel operator, Drachan Limited, at the year to the end of August 2017 show it recorded an after tax profit of €161,895 profit.
The hostel is being sold on behalf of BDO receiver Jim Hamilton.