Pre-tax profits decline 25% at Paddy McKillen property management firm

Gordon Deegan

Pre-tax profits at the Dublin based management firm owned by hotelier and developer, Paddy McKillen Snr last year declined by 25 per cent to €7.99 million.

New accounts show that Mr McKillen’s Hume Street Management Consultants Ltd recorded the €7.99 million pre-tax profit after enjoying €10.67 million pre-tax profits in 2020.

The firm’s turnover derives from the provision of corporate and property management services and accounts reveal that Mr McKillen’s firm received €4.4 million in fees from the firm, Coroin Ltd concerning Mr McKillen’s work for the London-based Maybourne luxury hotel group in 2021.

This was a decrease on the €4.23 million received from Coroin Ltd in 2020.

Qatari dispute

Mr McKillen is currently in dispute with the Qatari owners of the Maybourne luxury group.

McKillen claims he is owed billions of pounds under an agreement to share future profits struck with the Qataris at the time of the 2015 sale, which valued Claridge’s, the Connaught and the Berkeley at £1.3 billion (€1.5 billion).

The terms of the contract reportedly confirm McKillen is in line for 36 per cent of the upside valuation of the hotels minus capital expenditure.

Earlier this year, the Maybourne group confirmed that it had not renewed its management contract with Mr McKillen's Hume Street Management Consultants.

Last year, Hume Street Management Consultants recorded post tax profits of €7 million after paying corporation tax of €982,384.

The accounts show that the firm’s accumulated profits decreased by €1.85 million from €6.27 million to €4.4 million indicating a dividend payout of around €8.86 million after taking last year’s post tax profits of €7 million into account.

The firm employs eight staff and staff costs totalled €637,045. Directors’ remuneration totalled €219,737.

The accounts state that during the year, the company paid expenses on behalf of Patrick McKillen of €355,897 and Mr McKillen advanced loans and repaid management services and expenses of €482,406.

The firm owed Paddy McKillen €737,325 at the end of 2021.

The company’s immediate parent firm is Irish-based Wintergreen Holdings Limited, while Isle of Man firm Belleville Limited is the ultimate parent firm.