Jurys Doyle Hotel Group has accepted a €260m (£180m) cash bid for its Ballsbridge site in Dublin from property developer Sean Dunne.
The price tag for the 4.85 acre site, which contains the Jurys Ballsbridge hotel, the Towers and the Berkeley Court hotel, sets a new record for Irish land prices.
The company expects the deal to complete by October, subject to shareholder approval, and to finish operating on the site in late 2007.
Operating profit before interest and taxation for the businesses based on the Ballsbridge site was €2.6m (£1.8m) last year.
Jurys said the performance of its four-star properties in Dublin continued to disappoint, but that trading since 19 April had continued to be satisfactory at the group's US and UK properties.
It added recent events in London were having some, impact on the company's operations in the capital.
Buy this week's Caterer magazine for more industry news and analysis