In the past the hotel has been used for emergency accomodation for the homeless, but Anthony Flynn of Inner City Helping Homeless has confirmed that no homeless families are now being accommodated there.
Irish media is reporting the fire appears to have started in a mid-level floor of the 15-storey Metro Hotel in Ballymun.
The hotel was put up for sale at £2.2million in 2014 when at the time the top 10 floors were used as private apartments.
It is understood some families are housed in the building in emergency accommodation.
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Witness John Sheridan said "at least five floors" seemed to be on fire near the top of the tower as authorities confirmed the fire is across "a number of storeys". It's exactly what it looked like at Grenfell.
"Windows and cladding are peeling off the building and falling down onto the side wing where the hotel is".
The Fianna Fáil representative added: "Windows are exploding and fire and debris are billowing out the side of the building".
As well as the large Dublin Fire Brigade presence, gardai and ambulance crews were also on site.
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8 fire engines, advanced paramedics & other specialist appliances are now attending the fire in #Ballymun. "Severe traffic delays, please avoid the area to enable us to access the fireground #Dublin #fire".
The hotel is a short drive from Dublin airport.
Dublin's fire service is in attendance, and nearby roads have been sealed.
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