4th June (Issue 199)
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.
RETAIL
Balbriggan, North Dublin Savills is seeking offers in excess of €6.65 million (€912 per sq.ft.) for the freehold interest of the Bank of Ireland’s 7,286 sq.ft. branch premises at Balbriggan in north Dublin. The lease has a weighted average unexpired lease term of 14.53 years with current total passing rent of €432,456 per annum (€59.35 per sq.ft.) Lease reviews are on an upward-only basis and benefit from the higher of either open market rent or 15 per cent fixed uplifts. The asset is currently producing a net initial yield of 6% with this expected to rise to 7.92% once the fixed uplifts take effect. The Irish Times, 29th May
Musgrave Retail Park, Waterford Knight Frank is guiding €4.75 million for the 96,808 sq.ft. Musgrave Retail Park in Waterford. Developed in 2009, the scheme is fully-occupied by two high-profile tenants, Musgrave and The Range, and is delivering total rental income of €407,712 per annum (€4.21 per sq.ft.) which equates to a net initial yield of 7.91%. A fixed rental increase is due in 2022, rising to €433,676 per annum (€4.48 per sq.ft). The rental uplift offers the buyer a potential yield of 8.89%. The Irish Times, 29th May
Number 4 O’Connell St, Dublin 1 A five story over-basement mid-terrace 3,350 sq.ft. building has come to the market through Knight Frank with a guide price of €1.5 million (€447 per sq.ft.) The fully refurbished building consists of a retail element extending to 1,370 sq.ft. with separate access provided to the upper floors from O’Connell Street, with direct access also available from the ground-floor shop. The property is being sold with the benefit of vacant possession. The Irish Times, 29th May
HOTEL
Howth Castle Tetrarch Capital has completed the purchase of the estate of Howth Castle and demesne in a multimillion euro sale which also included the Deer Park hotel and golf courses. Tetrarch plans to redevelop and reopen the hotel as a luxury property, to transform the golf courses whilst also including a new leisure centre, retail elements and significant sports and recreational amenities and facilities. The Irish Times, 30th May
Portmarnock Hotel and Golf Links Kennedy Wilson has launched the Portmarnock Hotel and Golf Links on the market with a guide price of €50 million. The estate was acquired in 2014 for €27 million and has undergone significant refurbishments since. The 134 guestrooms, banqueting and conference facilities were upgraded along with the addition of a spa and enhanced golf experience. The Irish Times, 29th May
Parnell Place, Cork A planned new 162-bed hotel on Parnell Place in Cork City can now proceed after an appeal against the plan was dropped. Tetrarch Capital sought planning permission for the hotel which would stretch back to Deane Street and onto the rear of homes and businesses on Lower Oliver Plunkett Street. Buildings to the rear of the premises facing Deane Street will be demolished which is also where the entrance to the hotel will be located. The Echo, 31st May
OFFICE
Nassau Street, Dublin 2 An Bord Pleanála has granted planning permission for a new €100 million office development on Nassau Street in Dublin. The proposed development by Ternary Ltd will have a gross floor area of 406,036 sq.ft. (€246 per sq.ft.) The existing office block is largely vacant and according to the applicants not suitable for modern office needs. The Irish Times, 30th May
Prism Building, Cork City The developers of the triangular Prism Building have said work could start within months on the site next to the city’s central bus station, and bounded by Clontarf St, Deane St and Lower Oliver Plunkett St. The building was granted planning despite senior planners recommending it be refused due to its height. Architects have designed the Prism to provide 60,000 sq.ft. of office space over floors one to 14, with a roof-top terrace on the 15th floor, with room for 600 workers. The Irish Examiner, 28th May
RESIDENTIAL
Lugus Capital and Broadhaven have acquired a portfolio of 142 residential properties for c.€29.9 million. The properties are located in Dublin, Meath, Kildare and Galway. The portfolio includes 34 apartments at Swiftwood in Saggart (€6.9 million purchase price), 16 apartments at Garrison Mews in Dublin 18 (€3.46 million), 19 apartments at the Clontarf Bay development (€5.3 million), and 10 units at Wilford Court in Bray (€2.52 million). There are also a number of individual properties in portfolio. The Irish Times, 29th May
Dún Laoghaire, Co. Dublin A real estate fund managed by Deutsche Bank subsidiary DWS has agreed to pay €108 million to acquire 214 apartments in the Fairways development in Dún Laoghaire, Co Dublin. The price tag equates to an average of €504,000 per unit, and a gross yield of 4.89%. The apartments are due for completion in stages between September 2019 and February 2020. The scheme will incorporate 29 one-bedroom units, 156 two-bedroom units, five two-bedroom plus study units, 23 three-bedroom units and one four-bedroom penthouse. The Irish Times, 29th May
Anglesea Avenue, Blackrock, Co. Dublin Sherry Fitzgerald has brought the 4 bedroomed 7 Anglesea Avenue, Blackrock to the market guiding €1.375 million. The 2,300 sq.ft. double fronted late Georgian terraced property has been restored, refurbished and extended, maintaining many of the period features. The Sunday Business Post, 2nd June
MIXED USE
23 Hatch Street Lower, Dublin 2 Knight Frank is guiding €2.6 million for the 5,124 sq.ft. Georgian investment property. The four-storey over lower-ground period building comprises both commercial and residential accommodation. Located at lower ground, ground, first and second floors, the office accommodation extends to 3,934 sq.ft. This portion of the property is fully let along with seven car parking spaces. The lease has 14 years remaining and a passing rent of €152,200 with parking at €3,500 per space. The two apartments are being sold with vacant possession with an estimated rental value of between €43,000 and €45,000 per annum. The Irish Times, 29th May
INDUSTRIAL
Q1 2019 Dublin Industrial Report Take up in the Capital was 829,897 sq.ft. in Q1, comprising mainly small leasehold transactions. Prime rents are €9.29 psf, a 9% increase YoY, and are expected to rise to €10.03 in 2019 and €10.22 psf in 2020. 227,119 sq.ft. of industrial space was completed in Q1 with a further 450,470 sq.ft. of space under construction Cushman and Wakefield Report
Naas Road Industrial Park, Dublin 12 Quinn Agnew is seeking offers in excess of €7.5 million for the Naas Road Industrial Park, a 4.2-acre managed business park property in Dublin 12. Naas Road Industrial Park comprises six units extending to a total gross external area of 87,611 sq.ft. Four of the units produce an annual income of €408,250. The site comes with development potential (SPP) as it is zoned Objective Z6 under the Dublin City Development Plan 2016-2022. The Sunday Business Post, 2nd June
LAND
18.24 acres, Enniskerry Road Cushman & Wakefield has brought an 18.24 acre site on the Enniskerry Road to the market at a guide price of €17 million (€932k per acre). The site has the capacity to accommodate c.200 homes (€85k per site). As this is a NAMA appointed sale, purchasers will have the opportunity to bid to acquire the site outright or to enter into a licence agreement (subject to planning permission) for the delivery and disposal of units in the development. The Irish Times, 29th May
3 acres, Blackrock Co. Dublin A 3 acre site on Cross Avenue, South Dublin adjacent to Blackrock College has come to the market with GVA Donal O’Buachalla seeking offers in excess of €20 million (€6.6 million per acre). The site falls within “objective A” in the Dún Laoghaire Rathdown Development Plan 2016-2022. A site feasibility study was conducted and examined the potential for two development options for the site – 121 units in build-to-sell (€165k per unit) and 154 units in build-to-rent (€130k per unit) layouts. The Irish Times, 29th May
Poolbeg Housing Site NAMA has announced that the country’s biggest housing development site Poolbeg will be brought to the market within weeks. The site has the potential to see upwards of 3,000 homes built. The site is one of the last remaining large-scale residential development opportunities still available near Dublin city centre and 25% of all new homes there will be either social or affordable housing. The Irish Independent, 31st May
Rathcoole, Dublin 24 Coonan Property is seeking offers of €3 million for a Rathcoole development opportunity. The 1.27 acres comes with full planning permission for a 58 bedroom aparthotel, nine retail units and four market stalls. The Sunday Business Post, 2nd June
OTHER
A Cushman & Wakefield report has highlighted that development land transactions worth an estimated €240 million were sale agreed in the first quarter of 2019. In greater Dublin alone, a total of 14 deals closed in the first three months of the year, for a combined value of €160.8 million. The largest deal being the sale of 84.5 acres in Newbridge and Leixlip for €50 million. Sandyford, Dublin 18 had the second-largest deal, for the sale of a site with full planning permission for 459 apartments to Avestus for €38 million. The Irish Times, 28th May
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