Fitzpatrick’s New York hotels announce $2.7 million profit

By: CATHY HAYES | Published Sunday, August 1, 2010, 9:41 AM | Updated Sunday, August 1, 2010, 10:00 AM

The two Irish-owned Fitzpatrick hotels in Manhattan made a combined joint profit of $2.7 million (€2.1 million) last year.

Despite the healthy figure, this was a decrease from the $7m profit which the hotel posted in 2008. The decrease is most likely due to the impact of the global recession. The hotels are owned by well known Irish hotelier John Fitzpatrick.

Among the many negative industry trends in the hotel industry are a decrease in business spending, a fall-off in visitor numbers, and increased competition, particularly from ‘low fare’ hotels advertising over the internet.

Despite the decreased profit, Fitzpatrick maintained that he was happy with the shape of the accounts.

“We are doing well in a tough climate. In fact, we outperformed the New York market in occupancy and rate, and I am glad to say that we made a good profit,” he said.

But there was good news too. “The positive news is that we have seen a significant turnaround in the past four months in the US with a pick-up in corporate travel,” he said.

The hotel chief also said that the company was budgeting for a slight increase in its sales over the coming year and hoped that business would pick up in the industry overall.

Fitzpatrick is also the chairman of the Hotel Association of New York City.