17th September (Issue 214)

Welcome to the Origin Capital Weekly Irish Property Review. This update is designed to provide you with a full recap of the latest property news from the media over the last seven days.



Harcourt Centre, Dublin 2 CBRE is guiding €53 million for two adjoining properties comprising 54,000 sq.ft. of office accommodation and 2,400 sq.ft. of retail space at blocks 4 and 5 Harcourt Centre. The current rental income is €3.02 million per annum which represents a yield of 5.26%. Block 4 and 5 comprises a six-storey over basement buildings together with 40 car-parking spaces. The sale of the property at or above the guide price would provide its current owners, Avestus Capital Partners and Ares Management, with a return of at least 12.7% on the €47 million they paid in September 2017 when acquiring it from its original developers, the Clancourt Group. The Irish Times, 11th September

19 Baggot Street Upper, Dublin 4 QRE is guiding €1.175 million for No 19 Baggot Street Upper, Dublin 4, which is fully let and producing a passing rent of €88,150 per annum. (NIY 6.92%) The ground and lower ground levels are let to O’Briens Sandwiches & Cafe whilst the upper floors, which benefit from own-door access, are let to an architectural firm, with leases expiring in 2028 and 2029 respectively. The property benefits from mixed-use zoning which may allow for further development to the rear of the building, subject to obtaining the appropriate planning permission. The Irish Times, 11th September

60-63 Meath Street, Dublin 8 Agent Cushman & Wakefield is guiding €3.75 million for numbers 60-63 Meath Street, a fully-let 11,324 sq.ft. mixed-use investment with potential for further development in Dublin 8. The property is a part-three, part-four storey over-basement building comprising a ground floor over-basement retail unit at number 60, together with 14 apartments situated above numbers 60-63, consisting of three one-beds, eight two-beds and three three-beds. The property is fully-let producing an overall income of €244,756 per annum. The subject property also includes a regular-shaped site to the rear extending to 4,359 sq.ft. which has the benefit of full planning permission for a 2½-storey residential development comprising five two-bedroom apartments. The Irish Times, 11th September

Tralee, Co Kerry QRE is guiding €1.9 million for the 7,144 sq.ft. Phoenix Building in Tralee, Co Kerry, which forms part of the town’s prime central retail core. Sports retail chain Elverys occupies most of the space, including ground and two upper floors with CeX, and Coffee Start occupying the other two ground-floor units. The property is producing rental income of €207,500 (€29 psf). The Irish Independent, 12th September



Hatch Street, Dublin 2 Red Carnation Hotels has purchased Hatch Hall for in excess of €20 million with the intention of converting the former Victorian university residence hall on Hatch Street, Dublin 2 into a five star boutique hotel. Red Carnation Hotels previously purchased Ashford Castle and its 365-acre estate for €20 million in 2013 along with owning and operating a further 16 luxury and award-winning boutique hotels in the UK, South Africa, Switzerland and the USA. The Irish Times, 11th September



Reflector Building, Dublin 2 The Irish Independent understands that the German asset manager, Wealthcore has acquired Dublin’s Reflector building, which was put on the market earlier this year with a €155m price tag. However, it is not clear yet if Wealthcore has teamed up with South Korea’s Hana Financial Group, which earlier this year was reportedly in advanced talks to buy the property. The sale of the Reflector marks one of the biggest property sales in Ireland this year. The building was completed in 2018 by Park Developments and is located in the heart of Dublin’s Silicon Docks, with extensive water frontage. The property’s tenants include Airbnb, which started its lease at the premises this year. Its other tenants include Wix and LogMeIn. Airbnb has a 20-year lease with an 11-year break option. It is paying €2.37m a year in rent and has taken c.42,000 sq.ft. of the total 124,000 sq.ft. of office space available. The Irish Independent, 16th September



Blackrock Village Centre Joint agents Savills and BNP Paribas Real Estate are quoting rents ranging from €50 to €70 psf. for the remaining 16,157 sq.ft. of space, which comprises three food and beverage units and five retail units. The centre is undergoing a €10 million refurbishment programme with completion expected by May 2020. The revamped centre will extend to 66,477 sq.ft. upon completion and there are 33 units within the scheme including Super Valu, Lloyds Pharmacy and Holland & Barrett. The Irish Times, 11th September



Four Courts, Dublin 7 Through Robert Colleran, The Legal Eagle gastro pub has come to the market via a sale and leaseback deal with The Winding Stair food and beverage chain at a guide price of €1.6 million and a rent of €100,000 per annum on a 25-year full repairing and insuring lease with five-year rent reviews. The terraced property has a gross internal floor area of c.3,640 sq.ft. and has been fitted out to a high standard. The 1,297 sq.ft ground floor is laid out as a bar and restaurant and can seat up to 100 customers. An additional private dining area for 40 customers is on the first floor. The 581 sq.ft. top floor is used as offices. The Irish Independent, 12th September



Wallingstown, Little Island, Cork Savills has brought a 52,698 sq.ft. industrial warehouse investment opportunity to the market with a €5.2 million guide price (€98 psf). The current effective rent is €371,600 per annum up to February 2027 and this equates to an initial yield of 6.59% with reversionary yield potential of 7.24%. The warehouse facility comprises a detached standalone headquarters-style warehouse facility on a secure four-acre site. It is leased to one single occupier, Gaynor Pearse Motor Factors Unlimited Company t/a J&S Automotive Distributors, on a 10-year lease from February 2017 with no breaks options. The Irish Independent, 11th September




47 Ranelagh Road A three-storey redbrick building extending to 3,600 sq.ft. has come to the market through QRE  with a guide price of €2.25 million (€625 psf). Located on an infill site of 0.3 acres, the property has, until recently been in use as a crèche and offices but represents a significant residential investment opportunity. A feasibility study prepared by Reddy Architecture Urbanism in advance of the sale indicates that the site has the potential to accommodate 17 residential units incorporating the original building and a new five-storey structure to the rear. The Irish Times, 11th September

Rathgar, Dublin 6 Joint agents DNG Advisory and BNP Paribas Real Estate are guiding €18 million for a significant apartment portfolio in Rathgar, Dublin 6. The Rathgar Road Collection comprises six period properties, which have been redeveloped over the past 40 years to accommodate 61 purpose-built apartments and three commercial units. Located on two sites at 175-178 Rathgar Road and 149 Rathgar Road in Dublin 6, the portfolio comes with potential for the development of a further 44 apartments, and is being offered for sale in one lot. The total rent roll is €1,085,500 per annum. The average price per unit is approximately €270,490 which equates to a capital value of €617 per sq.ft. The existing apartment stock is made up of a combination of large studio apartments (18 units) and one-bedroom apartments (43 units). The average rent per residential unit in the portfolio works out at about €1,407 per month. The Sunday Business Post, 15th September

Goatstown Road, Dublin 14 The Irish Times understands that Developer Charles O’Reilly-Hyland has paid in excess of €6.6 million for a 0.84 acre plot (€7.86m per acre) which was previously occupied as a car showroom premises on Goatstown Road, Dublin 14. While the property doesn’t have planning permission, it is zoned for residential development under the Dún Laoghaire Rathdown County Development Plan 2016-2022. The site was offered for sale with the benefit of a detailed feasibility study prepared by architects O’Mahony Pike, which indicated the potential for a residential scheme of 75 apartments (subject to planning permission.) The site is located in close proximity to UCD’s Belfield campus and Dundrum Town Centre and the site is served by a number of Dublin Bus routes, and is located within a 15-minute walk of the Luas green line stops at Balally and Dundrum. The Irish Times, 11th September

Stillorgan, County Dublin Kennedy Wilson has submitted plans to build 232 luxury apartments on the site of the Leisureplex bowling alley in Stillorgan. The proposal is currently the subject of a fast-track planning application to An Bord Pleanála, however, the scheme is being complicated by the fact that it is looking to deliver the apartments in blocks of up to eight storeys, in contravention of Stillorgan’s local area plan. In its initial pre-planning submission to the board last February, Kennedy Wilson had sought to build as high as nine storeys on the site. That particular proposal was rejected, however, with the planners suggesting that it required “further consideration and amendment” along with other issues before a fast-track application could be submitted. Should An Bord Pleanála give its approval to the plan, the company also intends to deliver four restaurants and cafes, and two retail units on the site. The Irish Times, 11th September

Stillorgan Road, Dublin Kennedy Wilson has submitted planning documentation to An Bord Pleanála, indicating its intention to deliver 287 apartments on a four-acre site it owns at the exclusive Grange development on the Stillorgan Road in Dublin. The 287 apartments would be delivered across six blocks ranging in height from one to 11 storeys and would bring its overall portfolio at the south Dublin scheme to 561 apartments. The original 11.3-acre site at the Grange was bought by Glenkerrin Homes for c.€85 million in 2004. They built and sold 323 apartments before the property crash, when NAMA appointed Grant Thornton to finish off two partially built blocks with 174 apartments. Kennedy Wilson acquired these along with 100 other units distributed across the scheme’s seven blocks when it made its initial investment in the Grange last year. The Irish Times, 11th September

Ballymoney, Gorey, Co Wexford QRE is guiding €1.75m for a portfolio of 24 vacant residential units at Seafield Resort, Ballymoney, Gorey, Co Wexford. Accommodated in three blocks of courtyard family suites, they include 12 two-bed apartments and 12 three-bed duplex apartments. They are located on the grounds of the Seafield Resort Hotel which was built in 2007 and is located within a few minutes’ walk of Ballymoney Beach. At one time the owner had an agreement to rent them out through the hotel but that no longer applies. The Irish Independent, 12th September

Cherrywood, County Dublin Two sites zoned for educational use in Cherrywood SDZ in south Dublin have been brought to the market by Savills. The smaller Plot T12 has been designated for a primary school and extends to 1.93 acres, suggesting a price of almost €1.16m. The larger plot T14 has been designated for a post-primary school and extends to 3.98 acres, suggesting a price of almost €2.39m. Both sites are adjacent to Beckett Park, which has been developed to include tennis courts, a football pitch and basketball courts. The Irish Independent, 12th September

Applewood, Swords, Co Dublin Agent Hooke & MacDonald is guiding €7.5 million for a portfolio of 47 apartments and one retail unit at Applewood, Swords, Co Dublin which are located 1.8km northwest of Swords town centre. Airside Retail Park is located 2.8km to the southeast, while Malahide village is 5.5km away. Located at Chestnut House and Bramley Terrace, the residential element of the investment, which is being sold on behalf of Gannon Properties, comprises six one-bedroom apartments (average 538 sq.ft.) and 41 two-bedroom apartments (average 861 sq.ft.) Forty-four of the apartments are let and producing a current gross rental income of about €671,000 per annum, averaging €950 per month for the one-bedroom apartments and €1,225 per month for the two-bedroom apartments. There are three apartments left vacant for viewing purposes, and these have a projected rent in the region of €45,000 per annum, once let. The retail unit trades as Swords Angling Shop, and is let on a 10-year lease at a rent of €8,000. The Irish Times, 11th September

Naas Road, Dublin CBRE is guiding €9 million for a 7.45 acre (€1.21m per acre) landholding zoned for residential and industrial development located on the northern side of the N7 and just 2km west of Clondalkin village on the Naas Road in Dublin. The site has two separate zoning objectives under the South Dublin County Council Development Plan 2016-2022. An area of 2.35 acres of the site is zoned R2 – existing residential, while the remaining 5.1 acres are zoned EE – industrial, enterprise & employment. The site is in close proximity to a significant land holding of 440 acres of EE-zoned lands in the Naas Road/Ballymount area, which earlier this year were rezoned to Regen (Regeneration) under the South Dublin County Council Development Plan. The Irish Times, 11th September

Blanchardstown, Dublin 15 Agent Hooke & MacDonald is guiding €7 million for a portfolio of 30 apartments at the Grove Court scheme immediately adjacent to the Blanchardstown Centre in Dublin 15 (€233k per unit and a gross yield of 6.2%). The Grove Court portfolio comprises four one-bed apartments, 20 two-bed apartments and six three-bed apartments. Eighteen of the apartments are let and are producing a current gross rental income of approximately €265,000 per annum. The portfolio’s overall rental income has the potential to increase to about €434,000 once the 12 vacant units are re-let. The Irish Times, 11th September

Greystones, Co. Wicklow Agent HJ Byrne is offering for sale by way of tender four adjoining properties comprising 6,846 sq.ft. with a guide price of €1.5 million. Located directly opposite the entrance to Meridian Centre on Church Road in Greystones town centre, the site offers the opportunity to deliver a landmark development, subject to planning permission, on the last remaining undeveloped site in Greystones town centre. The Irish Times, 11th September


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