Irish investors’ US hotel repossessed by bank

A WASHINGTON hotel backed by Irish investors, one of whom is Senator Feargal Quinn, has been repossessed by Barclays Capital which is trying to recover loans.

Barclays is set to auction the magnificent five-star St Regis hotel which was bought by Irish private equity firm Claret Capital in conjunction with Friends First in 2007 for $170m, two years after it was sold for $45m.

Mr Quinn and his family hold a 25% stake in Claret Capital. It is believed Irish investors will lose out when it is auctioned by Barclays Capital.

At the time the purchase was hailed as a unique investment opportunity by Claret Capital owner Domhnal Slattery.

Claret Capital was founded by Mr Slattery in 2005. The Dublin-based investment firm manages the assets of a number of ultra ‘high-net worth’ individuals and their families, according to the company’s own press release.

Former Taoiseach Bertie Ahern and senior Cabinet members stayed in the hotel following his address to a joint session on Congress on Capitol Hill.

According to the hotel’s website, every US president has visited the hotel since President Coolidge cut the ceremonial grand opening ribbon in 1926. Joan Crawford, Jacqueline Onassis, Audrey Hepburn, Elizabeth Taylor, Cher and countless other stars have been guests.

Howard Hughes kept a permanent suite there during WWII, which he famously made available at no cost to uniformed servicemen during his absence.