28th July (Issue 257)
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.
RESIDENTIAL / LAND
Stillorgan, South Dublin Knight Frank is guiding €2.5 million for a prime development site at Stillorgan in south Dublin. The site was previously occupied by Beaufield Mews restaurant and antique shop for more than 70 years. Extending to 0.73 acres, a feasibility study prepared by Ferreira Architects in advance of the property’s sale suggests it could now accommodate the development of 34 apartments arranged between two blocks of three and five storeys, or alternatively the construction of seven terraced houses and nine apartments with surface car parking. The Irish Times, 22nd July
Ashtown, Dublin 7 Ruirside Developments, a subsidiary of Chartered Land, has applied to An Bord Pleanála under the fast- track strategic housing development planning system, to build a total of 725 apartments across six blocks on a site in Ashtown. The units will range from two to fourteen storeys high. The plans also include a crèche, discount retail store and cafe. Facilities would also include an amenity space and up to 400 car parking spaces and 800 bicycle parking spaces. The development is planned for a site bordered by the canal and close to Ashtown railway station. The Sunday Times, 26th July
Ringsend, Dublin 4 Nama confirmed that Ronan Group Real Estate and US investment firm Colony Capital have been chosen as preferred bidders for an 80% stake in the former Irish Glass Bottle site in Ringsend that is earmarked to deliver more than 3,500 homes. The Irish Times understands that the winning bid for the site exceeded €130 million. Nama will retain the remaining 20%. The preferred bidders have 30 days to complete the deal. The Irish Times, 22nd July
Purpose Built Student Accommodation Approximately 2,070 bed spaces have completed construction in Dublin over the past twelve months, bringing standing stock to approximately 16,300. A further 3,250 beds were under construction as of June 2020. Cork and Galway are continuing to see an increase in development activity for PBSA, and have a combined 1,728 bed spaces under construction at present, with many more in the planning stages. Over the past 12 months, the PBSA market has seen a healthy pipeline of new schemes opening. However, from 2021 onwards the delivery of new bed spaces will reduce significantly. This is a combination of the slowdown already visible in the volume of new starts, while also the growing question of whether those in the pipeline will be considered for alternative uses. Cushman & Wakefield Report, Q2 2020
MIXED-USE
Phibsborough, Dublin 7 Knight Frank is guiding €5 million for a significant redevelopment opportunity in Phibsborough village in Dublin 7. Extending to an area of 0.43 acres, the site currently comprises of the former Des Kelly Interiors furniture showroom and a number of retail units on the North Circular Road. The site is zoned “Objective Z4” which provides for mixed-services facilities within the area identified as “Key District Centre 8 – Phibsboro”. The subject site is positioned within a short walk of numerous major employers and amenities, including the Mater hospital and TU Dublin’s (formerly DIT) Grangegorman Campus. The Irish Times, 22nd July
East Wall, Dublin 3 The Sunday Times are reporting that MKN Property intends to demolish two car showrooms on the junction of East Wall Road and Alfie Byrne Road to make way for a mixed-use scheme which will be developed in three blocks. The first building will consist of a 15-storey hotel with 195 bedrooms and conference facilities. The second block will be an eight-storey, mixed-use building with residential amenity space, six office units on the first to third floors and 28 build-to-rent apartments on the fourth to seventh floors. The third building will provide 60 build-to-rent apartments consisting of mostly one- and two-bedroom units with balconies. The proposed development will also feature a basement serving the three blocks for car and bike parking. The Sunday Times, 26th July
OFFICE
Naas, Co Kildare The Irish Times understands that Aldi has agreed to rent Birch House at the Millennium Park in Naas, Co Kildare in its entirety. The German-headquartered company will occupy its new offices on a 10-year lease at a rent of €16.50 psf. The deal also includes an agreement to rent all 156 of the building’s car parking spaces for an annual payment of €200 per space. The Millennium Park campus is well located just a 15-minute drive from the M50 motorway, providing ease of access to both the north and south Dublin suburbs and Dublin airport. The new M7/N7 interchange offers direct motorway access from the park to Galway, Cork, Limerick and Belfast. The Irish Times, 22nd July
George’s Quay, Dublin 2 Irish Life has secured the Office of Public Works (OPW) as tenants for its 1GQ waterfront office scheme at George’s Quay in Dublin 2. The Irish Times understands the State agency has entered into a 20-year lease with a break option in year 15 on 42,000 sq.ft. of space at a rent of €53 psf. The complex, which served previously as Ulster Bank’s headquarters, was stripped out, modernised, extended and renamed by Irish Life in 2017. There was a five-storey glazed extension, increasing the overall floor area by more than 21,000 sq.ft. to 131,333 sq.ft. The Irish Times, 22nd July
RETAIL
Galway City Joint agents QRE and BidX1 are guiding €1.95 million (€443 psf) for Number 1 Shop Street in Galway City. It is currently let in its entirety to Three Ireland, on a 10 year lease from May 2016 at a contracted rent of €160,000 per annum (€36.38 psf). The property extends to five storeys over basement and its total floor area extends to a gross internal area of c.4,398 sq.ft. It is listed as a protected structure. The Irish Independent, 23rd July
OTHER
Nama recorded a loss of €49 million for the first 3 months of 2020 compared to a €41 million profit over the same period last year, according to figures published by the State Agency. However, the report also highlighted that Nama earned €226 million in cash over the three months ended March 31st from selling loans, property and repayments from its borrowers. The Irish Times, 22nd July
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