"In general, the CEE property markets are developing at a rate that not even the most optimistic commentators could have predicted, " says Colin Waddell, managing director of CBRE's Prague office. "All asset classes, including performing hotels, are now of interest to even the most conservative western investors."

Irish investors have been amongst the most active investors and developers within the CEE region in recent years. Sean Quinn recently added the Sheraton Krakow in Poland to his growing eastern European portfolio for a reported 45m.

Derek Quinlan, through his Prague-based JV company Quinlan Private Golub, already owns the Four Seasons hotels in Prague and Budapest and is rolling out a new boutique brand following the opening of the first of the Yasmin hotels in Prague last year.

John McEniff has just purchased a hotel development site in Bratislava, where Sean Mulryan's Ballymore Properties massive development project is well underway and will dramatically change the citycentre landscape. Meanwhile.

Barry Cullen's, Red Group, based in Prague, already has 13 years of successful development behind it in the region.

Dermot Curtin, director of CBRE Hotels in Ireland, says, "An increasing amount of our time is now spent sourcing product for our clients in the CEE area. In terms of CEE investment activity, Irish investment activity is behind only Austria and Germany but well ahead of Czech, UK and the USA investment in the region.

"The Irish are recognised as being very entrepreneurial and able to make very quick investment decisions, which has made them easy to deal with and earned them an excellent reputation in the CEE area".