The decision was announced on Monday evening by the newly constituted board of Brogan Capital Ventures Ltd, which operates the Dundrum House Golf and Leisure Resort, at Dundrum village in County Tipperary.
Dundrum House Hotel closure – the newly constituted board of Brogan Capital Ventures Ltd said it “very much regrets the impact this decision will have on its valued employees, members of the golf club and leisure centre, customers, suppliers, the local community in Dundrum and other stakeholders.”
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The company described the action as a “necessary step” given the assessment of the new board, constituted on July 31, that the company is loss making and is currently unable to pay its debts as they fall due. There are 48 employees.
“Unfortunately, the company has had to make the difficult decision to cease trading with immediate effect and it will enter into a 30 day collective redundancy consultation process with its staff later this week,” said a spokesperson.
“The company is conscious that this will be very difficult for the employees and their families. Employees have been informed this evening and the company will be engaging with them and their selected representatives in the period ahead.”
The IPAS centre, which is operated by a third party on the Dundrum House campus, is unaffected by the decision made by the company on Monday.
“The company very much regrets the impact this decision will have on its valued employees, members of the golf club and leisure centre, customers, suppliers, the local community in Dundrum and other stakeholders. However, it is unavoidable given the state of the company’s financial affairs,” added the spokesperson.
The company will work closely with its advisors to “ensure that all obligations to employees and other stakeholders are managed appropriately and in compliance with all relevant laws and regulations”.
The news has been greeted with widespread shock from local public representatives. The sudden closure of Dundrum House has left staff, the local community, and a historic site in crisis, said independent Cllr Liam Browne.
“This closure is the direct result of a failure in oversight and accountability surrounding a State contract awarded to a company with unknown beneficial owners.
“Earlier this year, Brogan Capital Ventures, the company that owned Dundrum House, leased its accommodation blocks to a Spanish-based company called Utmasta.
“In April, the government awarded Utmasta a contract to accommodate up to 280 IPAS residents. Utmasta was then expected to pay Brogan Capital Ventures for the lease.
“However, Utmasta has failed to make those payments. Brogan Capital Ventures subsequently went into liquidation, leaving liquidators with no income and mounting costs, including a significantly increased insurance bill. With no funds to cover these expenses, the liquidators were legally obliged to close Dundrum House.
“This is not just a business issue – it’s a community issue,” said Cllr Liam Browne. “Forty eight jobs have been lost, many in families with multiple incomes from Dundrum House.
“Vital facilities like the golf course and leisure centre are closed, and a historic site is now in jeopardy. The government must immediately investigate why a company with unknown beneficial owners was given a State contract, confirm whether public funds were paid, and take urgent steps to protect jobs and services in Dundrum.”
Cllr Browne added: “This is about accountability and transparency. Our community deserves answers—and action—not more delays or excuses.”
Fine Gael’s Cllr Declan Burgess said he is “deeply saddened to hear that Dundrum House will cease trading”.
“This is a huge blow locally and my thoughts are with the staff, their families, and all those who use and enjoy the golf, hospitality and leisure facilities.
“It represents a significant loss for the community. Clear and transparent communication by the liquidators is essential, especially for staff, and real engagement with everyone affected must be a priority.”
Independent TD for Tipperary, Mattie McGrath, has described the sudden closure of Dundrum House Hotel and its facilities as a “devastating blow to staff, local suppliers, and the wider community,” and has called on government ministers to urgently intervene.
Deputy McGrath said: “The sudden announcement of this closure has left over 40 workers locked out of their jobs without warning. Many of these staff have given decades of service and now, through no fault of their own, find themselves facing unemployment and uncertainty.
“The closure also directly impacts hundreds of golf club members, leisure centre users, restaurant operators and local suppliers who relied on this complex as a vital hub for employment, recreation, and tourism.”
Deputy McGrath insisted that the government must now play an active role. “The Minister for Enterprise and the Minister for Tourism must engage directly with the liquidator to ensure that every avenue is explored to secure the future of this facility.
“The liquidator must also fulfil their duty of care by ensuring workers’ redundancy rights are fully protected and by maintaining the golf course and amenities, so they do not fall into disrepair.”
Deputy McGrath also renewed his criticism of the government’s policy of diverting rural hotels into the International Protection Accommodation Services (IPAS) system. “It is a bitter irony that while local workers are being left jobless, the only part of Dundrum House left operating is the IPAS Centre.
“This reflects a damaging government policy where rural hotels and leisure facilities are being lost to their communities and repurposed without consideration of the long-term impact on local employment, tourism, and social life. This short-sighted policy must be reviewed urgently.”
Deputy McGrath also raised serious concerns about government spending on IPAS contracts and called on the Minister for Justice to act on the basis of previous findings. “At a time when Dundrum House is being shut down, we must ask a very basic question, where is the money from IPAS going?
“Significant sums of taxpayer funding are being poured into these contracts, yet local jobs are being lost, facilities are being stripped from rural communities, and nothing is being reinvested back into the areas most affected. The government must come clean on how much is being spent, who is benefiting, and why local workers and families are paying the price.
“It has already been established that the Section 5 planning exemption for the use of Dundrum House as an IPAS Centre should never have been granted. I am calling on the Minister for Justice to intervene immediately, act on those findings, and bring an end to this flawed arrangement which has deprived the community of a key facility.
“This is a terrible day for Dundrum, for the staff who have lost their jobs, and for the community who have lost an invaluable amenity.
“I will continue to press the government and the liquidator to take responsibility and ensure that Dundrum House is not abandoned to decline, but given a future that serves the community, not undermines it,” added Deputy McGrath.
Sinn Féin’s Cllr Annmarie Ryan said, after the news broke, that she went to see her cousin, Marion, who runs the golf course as an independent contractor.
“Marion, her staff and all the 48 employees in Dundrum were taken completely by surprise when they were informed by the liquidator of the immediate closure of the hotel facilities,” said Cllr Ryan.
“Up until yesterday they had been told it was business as usual and there was hope that the complex would be sold as an ongoing business. However all businesses – except the IPAS centre – have closed with immediate effect. This is a massive blow to the staff and the local community who use Dundrum House Golf and Leisure Centre.
“People are waking up this morning, locked out of their place of employment, without their jobs. Some of the staff have been there many years and care deeply about the place. Through no fault of their own they find themselves out of work, facing uncertainty as the liquidator works through redundancy.”
There are also 600 members of the golf club, members of the leisure centre, the new restaurant owners and local suppliers, and all are badly impacted by the closure, added Cllr Ryan.
The “liquidator does have a duty of care to all of the employees and must work with them to ensure their redundancy rights are met”. The liquidator also has a duty of care to maintain the golf course and to not allow it to fall into disrepair. “It’s a terrible day for the staff of Dundrum House, and the wider community,” added Cllr Ryan.