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Armada Hotel in Co Clare invests €2.5m to expand next door
DCM Editorial Summary: This story has been independently rewritten and summarised for DCM readers to highlight key developments relevant to the region. Original reporting by Irish Times, click this post to read the original article.
Having started out in the hospitality business almost 60 years ago with a roadside pub, the family behind the popular Armada Hotel at the scenic location of Spanish Point in Co Clare has completed a €2.5 million investment that has added smart new accommodation at the site.
Situated just 70m from the hotel, Armada House has been refurbished and includes 13 high-end bedrooms, a restaurant, high-tech conferencing facilities in converted stables and an art gallery to help attract visitors to the location.
The house dates back to 1810 and the new look is the work of Dublin-based Suzie McAdam, a leading interior designer.
The Armada’s owner and chief executive, John Burke, the second-generation family member to run the business, describes it as a “premium” four-star hotel experience offering a five-star product.
“We are offering a five-star standard, but we’re obviously not a five-star resort and our rates will reflect that,” he said.
Those rates, he said, would range from €320 per night bed and breakfast in peak times of the year for a courtyard room down to €250 nightly at low season. If you want to upgrade to a sea view suite, the cost will be €570 per night (including a bottle of champagne), down to €420 at quieter times of the year.
In all, there are 13 bedrooms in the newly refurbished house, while the hotel next door has 89. The Armada also has a farm, about 3km up the road.
Guests at Armada House will get a welcome cocktail on arrival, will have access to complimentary tea and coffee during the day in the communal lounge areas, and the group will also allow for one change in the booking if visitors need to reschedule their trips.
There will be a turndown service and a night porter on duty while guests in the house can avail of the facilities at the nearby hotel. “We’ll drive them down if it’s raining or they can’t make on foot,” said Burke.
The refurbishment took place in stages over three years and is a big investment for the family-owned business at a time when margins in the hospitality sector are under pressure from rising costs.
Burke says about 83 per cent of its guests are domestic, with weddings and family gatherings a big feature of its business. Just 4 per cent of visitors are from the United States.
“We would like to have a stronger international focus,” he said. “We are always trying to grow it but domestic is our core business. We are very popular for weddings and have a huge return trade.”
In 2025, the hotel achieved 77 per cent occupancy, up two points on the previous year. “We are working hard to build our business in the down-season. January and February are still proving challenging for us but March, April and May are seeing good growth.”
He’s hoping the newly refurbished Armada House will boost occupancy by 20 per cent.
Like most Irish hospitality businesses, Burke cites rising payroll costs as a significant challenge for the business while food margins were “squeezed last year”.
Payroll costs rose from €5.3 million to €6 million, with the company putting a focus on reducing its overheads and eliminating unnecessary wastage.
Last year revenues hit €16 million, up about 12 per cent on 2024.
He said food and beverage revenues account for 60-70 per cent of business, but the margins have become “tighter and tighter” in recent years.
“There isn’t profit in food in our business outside of events,” he said. “The margins are very tight.”
Burke welcomed the Government’s decision in the last budget to reduce the VAT rate on food services to 9 per cent from the beginning of July. “It will give us some relief.”
On the outlook for the year ahead, Burke said it was “very positive”, but there’s a lot to play for in the months ahead.
“There is a lot of positivity out there about the quality of the Irish tourism offering. We just have to keep managing our costs while growing the product and improving the experience.”
The Armada benefits from its scenic location and nearby outdoor activities, such as hiking, golfing, and surfing.
It became the first hotel in Ireland to achieve B Corp status, which Burks said underscores its commitment to balancing profit with purpose, enhancing its brand reputation and appeal among conscientious visitors.
The Armada was last year chosen as the Local Business of the Year at the seventy Irish Times Business Awards, run in association with Bank of Ireland.
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