Ireland: Plans to develop a €25 million aparthotel on James Street in Dublin are the subject of a second legal dispute.
With the latest dispute having been admitted to the Commercial Court, Tathony Holdings Ltd has brought proceedings against the property’s new owners Amhola James Street Ltd. This follows previous proceedings involving Tathony and former owner James Street Hotel Ltd (JSH) over how neighbouring properties would be affected by the hotel development. On that occasion an out-of-court settlement was reached.
Amhola purchased the dilapidated building from JSH last June for €5.25 million, with plans to begin development of a hotel at a cost of €25 million.
Prior to this case, Tathony had sued JSH, claiming an aparthotel development would interfere with its light source. The case was settled with JSH then selling the site to Amhola, with the previous permission to begin building development plans.
Though the proceedings were brought by Tathony last November, Amhola claims the moving-in of its contractors last month is what prompted Tathony’s plenary summons.
Kevin Beary, a director of Amhola, said in an affidavit: “The opposition to the hotel appears to be partly motivated by concerns that it will impede Tathony’s own commercial development plans.”
Beary said developing the building will “substantially enhance amenities in the local area”, creating 150 hotel and 250 construction jobs. He has also expressed concern over delaying development, as Amhola is at an advanced stage of preparedness and ready to begin work on the site, with aspirations to start this year.
Tathony has pursued an order preventing interference with its concerns and a declaration that its property benefits from an “easement of light”.
Mr Justice Denis McDonald admitted the case on Monday to the fast-track commercial division, on the application of Patrick Leonard SC, for Amhola, with permission from Tathony. The judge has stated the case will be discussed in court by April.
