Limerick Ryan hotel to close, 92 jobs to go

A leading Limerick hotel is to close its doors just three weeks before Christmas with the loss of 92 jobs.

The owners of the Limerick Ryan Hotel - Budelli Ltd - informed staff and unions that the premises will close on December 5 next. Budelli Ltd is a development company head up by former Ireland rugby manager and property developer, Pat Whelan.

A spokesman for the company said it had been "a very difficult decision" but added that the hotel was generating losses "which could no longer be sustained".

The Limerick Ryan Hotel was bought from the Gresham Group earlier this year for €10.5m and was managed by Choice Hotels Ireland.

It is understood the new owners now plan to rebuild the hotel into a luxury 'aparthotel' style development on the Ennis Road site.

Workers at the Limerick Ryan spoke of their "devastation" today on hearing confirmation of the hotel's closure shortly before Christmas.

Head Porter, John Walsh, who has worked at the Limerick Ryan for the past 34 years, described the timing of the announcement as "vicious".

"The new owners never had any intention of marketing the hotel and only bought it for development purposes. Some of the staff here were in tears when the news came through. There are young people here with families and mortgages to pay who have been told they're being laid off just before Christmas," said Mr Walsh.

A spokesman for SIPTU described the offer from the company of statutory redundancy for the 92 staff members as "derisory" and "unacceptable".

A further meeting between staff and owners to discuss details of the redundancy package is due to take place on Friday.

Earlier this week, the planning appeals authority - An Bórd Pleanála - upheld a Limerick City Council decision to refuse planning permission for five apartment blocks in the grounds of the hotel. The application had been refused by the local authority on the grounds that it was a "gross over-development".