In one of the most unusual sales so far this year, 24 suites are to be offered for sale shortly at the Clayton Hotel on Cardiff Lane, off Sir John Rogerson's Quay in Dublin 2.

Tom Barrett, head of Hotels & Leisure at Savills is guiding in excess of €8 million for the suites which have 62 bedrooms in all, each of them with a value of €129,000.

The four-star hotel, previously known as the Maldron, opened for business in 2005 with 213 bedrooms. Three years later it was extended to 304 bedrooms, making it one of the largest hotels in central Dublin.

The current annual rent of €467,200 applying to the 24 suites will provide a net initial yield of 5.6 per cent and, according to Savills, there is "strong reversionary potential for the next review in January, 2018". The leases include the standard full repairing and insuring conditions with upwards-only rent reviews. The leases run for a further 24.2 years under the leasing arrangement with Hanford Commercial Ltd, a subsidiary of the Dalata Hotel Group which had earnings in 2015 of €62.6m before interest, taxation and depreciation.

Barrett says the sale offers investors “a rare opportunity to acquire a meaningful interest in one of Dublin’s most profitable hotels”.

He recalls that there is a significant office expansion under way in the docklands with a current potential pipeline of over 400,000sq m. The Clayton Hotel, he said, was at the epicentre of this development and could be expected to benefit long-term.

Savills said the Dublin hotel market had an occupancy rate of 82 per cent in 2015 when revenues grew by 23 per cent. There was a further rental growth of 22 per cent in the first three months of this year.