According to airport operator, daa, the new four star hotel will provide employment for 250 people, while an additional 150 new jobs will be generated during the construction phase of the project.
Planning permission for the 11-storey hotel has already been granted. Construction is expected to begin next October and the property will open in 2019.
The new hotel will have a total floor area of 22,840 square metres comprising 402 bedrooms, as well as extensive bar, restaurant, café and conference facilities and a fitness suite.
It will occupy a prime 0.81 acre site between Terminal 2 and the T2 multi-storey car park – and will be located just 95 metres from Terminal 2
The airport has appointed property consultants Savills Hotels & Leisure to seek expressions of interest for the development and operation of the new hotel, which will be developed under a Finance, Build Operate and Transfer (FBOT) model.
The successful bidder will construct the hotel and operate it for a specified period of time, before transferring it back to daa at the end of the agreed term.
“There is significant demand for a new terminal-linked hotel at Dublin Airport and this development will benefit not just the airport but the city and region as a whole as Dublin needs more hotel beds,” says Dublin Airport's managing director, Vincent Harrison.
“We’re constantly striving to improve the product that we provide to our customers and this new hotel will offer extra choice and convenience to passengers and to the many companies that are based on the Dublin Airport campus.
“It will also provide much needed additional hotel capacity for the entire Dublin region.”
Between 2010 and 2015, only four hotels comprising 594 bedrooms were built in Dublin. The Irish Tourist Industry Confederation (ITIC) warned last year that that Dublin requires a further 5,000 hotel bedrooms by 2020 to meet demand.
Savills Ireland director of hotels and leisure, Tom Barrett, believes that there was likely to be significant market demand for the new Dublin Airport hotel development.
“This is a hugely exciting project. If this hotel was trading today, it would be one of the strongest performing hotels in Ireland.
"Given the unique high profile location and the quality of the offering we anticipate strong interest from developers, investors, hoteliers and brands.”
Dublin Airport set a new record for passenger numbers last year when it welcomed more than 25 million people.
Today the airport directly supports almost 15,000 jobs on campus and a total of 97,400 jobs in the wider Irish economy. It is worth €6.6 billion to the Irish economy and is the single biggest generator of economic activity in the State.