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Wednesday 24 October 2018

Rosslare Strand hotel lease dispute goes to Commercial Court

The Cedars Hotel in Rosslare.
The Cedars Hotel in Rosslare.

A dispute concerning a Rosslare Strand hotel which had been proposed for use as a reception centre for refugees has been admitted to the fast track Commercial Court list.

The action concerns the 34 bedroom Cedars Hotel which is worth an estimated €1.4m.

Welcome Ireland Hospitality Ltd, with a registered address at Cappagh House, Enfield, Co Meath has brought proceedings against Cedar Court Development's Ltd, the hotel's owner arising out a lease agreement entered into between the parties.

In their proceedings Welcome Ireland, who sought to lease the property, seek an order directing the owners to specifically perform the lease agreement for the operation of the premises.

The lease agreement was signed in June of this year.

Cedar Court Developments, which sought the admission of the case into the Commercial Court list, opposes that claim.

It claims it was never told that the hotel was to be used as a reception and orientation centre for refugees. It wants the premises to be operated as a hotel.

The defendant says Welcome Ireland was required under the terms of the lease to maintain the hotel's liquor licence and the premises standing with Bord Failte.

However, the defendant says the plaintiff failed to disclose to it that Welcome Ireland had an entirely different plan for the hotel which it considers 'a fundamental breach' of the lease agreement entered into between the parties. It says it has terminated the June agreement and now wants to lease the hotel to another operator.

A deal, Cedar Court says, has been agreed. However it says it cannot deal with the property because Welcome Ireland has registered a lis pendens against the property. The case was admitted to the fast track commercial court list by Mr Justice Brian McGovern. There was no objection to the case being admitted to the list and matter is due to be mentioned before the court later this month. Plans to set up the refugee centre at the hotel were scrapped earlier this year.

Wexford People

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