7th May (Issue 195)

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.



Heuston South Quarter, Dublin Developer Joe O’Reilly’s Chartered Land has teamed up with Henderson Park Capital to acquire the landmark Heuston South Quarter (HSQ) in Dublin city centre from US property giant Marathon Asset Management for €222m. The HSQ portfolio comprises 266 apartments, 106,319 sq.ft. of grade A office space, 48,034 sq.ft. of commercial space, and a 3.63 acre development site. The HSQ portfolio is already delivering c.€10.3m in gross annual income with scope to further increase through development and asset management. The Irish Times, 1st May

Parnell Square, Dublin 1 An Bord Pleanála has approved plans for the redevelopment of Parnell Square as a “cultural quarter” for Dublin, with a new city library, public plaza, and the restoration of some of the Georgian houses. The development is expected to cost €110m. 45% of the development will be funded by Dublin City Council and the rest will be funded by philanthropic donations. In addition to the library, the project will include a 200-seat conference centre, a music centre, education facilities and a café and exhibition space. The Irish Times, 7th May

Central Plaza, Dublin 2 The Irish Times reports that a hospitality and dining area on the top two floors of the old Central Bank building has been leased for in excess of €1m p.a. with the operator planning to create three venues at the Dame Street location. Hines and the Peterson Group are developing the rooftop venue as part of a wider scheme incorporating 134,500 sq.ft. of retail, food and beverage, and office space. The new restaurant space is set to provide diners with 360-degree views of Dublin and the surrounding landscape, from the Wicklow Mountains to Howth Head. The Irish Times, 1st May



Golden Island Shopping Centre, Athlone Cushman and Wakefield are guiding €41m (7.93% GIY) for Athlone’s Golden Island shopping centre. The 160,000 sq.ft. property comes to market three years after Credit Suisse acquired it for €43.5m. The property generates €3.25m p.a. Anchor tenants are Penneys and Tesco. The property also has a substantial car park with 1,000 spaces. The Irish Times, 1st May

No. 113-115 St Patrick St, Cork Agent Bannon is guiding €6.6m for No. 113-115 St Patrick St, Cork. The building has been occupied by Eason & Son, for more than 33 years. Eason will take a new 25-year lease of the premises at €500,000 p.a. which will equate to a 7% NIY. The 22,017 sq.ft. property over four storeys incorporates 13,801 sq.ft. of retail area across its ground and first-floor levels. The Irish Times, 1st May

Custom House Square, IFSC, Dublin 1 Savills is guiding €2.5m for four ground-floor units on Custom House Square at the IFSC in Dublin 1. All four units are fully let on long-term leases producing a combined passing rent of €228,500 p.a. All four units form part of a well-located commercial parade directly opposite the campus of the National College of Ireland, and immediately adjacent to the Mayor Street stop of the Luas red line. The Irish Times, 1st May



No 73 North Wall Quay, Dublin 1 Oakmount and partners Core Capital have paid c.€10m to acquire No 73 North Wall Quay in the Dublin docklands. Dublin City Council granted planning permission three months ago for a 39,825 sq.ft. development on the site. It is anticipated that the scheme will include 23,185 sq.ft. of lettable office space over eight floors, and will also include two retail units at ground floor level. The property is located immediately beside the headquarters of the Central Bank and Dublin Landings. The Irish Times, 1st May

Bishops Square, Kevin Street, Dublin 8 CBRE is guiding €180m (4.04% NIY) for Bishop Square, Kevin Street. The current rent roll is €7.8m. 86% of the rental income derives from government tenants, namely the OPW and Tourism Ireland. Other tenants include Starbucks and International Financial Data Services. The building has undergone significant refurbishment work since Hines acquired it in 2015, including increasing the property’s overall floor area from 153,000 sq.ft. to 182,774 sq.ft. The Irish Times, 1st May

Kildress House, Pembroke Row, Dublin 2 Savills are quoting a rent of €55 psf for the 22,000 sq.ft. Kildress House building. Construction is expected to complete on the building by December 2019. The property will be located between Baggot Street and Wilton Place in Dublin 2. The Irish Times, 1st May



Mill Works, Islandbridge, Dublin 8 Joint agents Sherry FitzGerald New Homes and Cushman & Wakefield are guiding €12.5m (5.75% GIY) for the Mill Works, a scheme of 29 private rented sector (PRS) apartments currently under construction at Islandbridge in Dublin 8. The portfolio is being offered for sale on behalf of Genius Builds by way of a forward-purchase agreement, with practical completion expected by Q3 2019. It is anticipated that a prospective purchaser could secure a stabilised rental income of about €720,000 p.a. before year-end. Based on its guide price, the prospective purchaser could expect to secure a gross initial yield of 5.75% with one-bed units expected to achieve rents of €1,700-€1,825 a month, and two-bed units expected to achieve in the region of €1,950-€2,200 a month. The Irish Times, 1st May



Planning permission has been granted for Cork’s largest ever student accommodation development. London based Future Generation has plans to build a 600 bed scheme at the former Coca-Cola site on the Carrigrohane Straight Road. The development will be Future Generations first European venture outside the UK and it is thought that the beds will be available for the beginning of the 2021/2022 academic term. The Echo, 6th May

St Agnes Road, Crumlin Village, Dublin 12 Colliers International are guiding €1.4m (€933k per acre) for a 1.5 acre site zoned for residential development on St Agnes Road in Crumlin village, Dublin 12. The site comprises The Glebe House, a substantial detached protected structure that is divided into apartments, all of which are vacant. Behind the house there are 12 workshop buildings, six of which are occupied by tenants on informal lease terms. The site is zoned Z1 – “To protect, improve and provide residential amenity”. The area is well serviced by transport links and could be of interest to those developers and investors involved in Dublin’s Build-to-Rent (BTR) Sector. The Irish Times, 1st May

Former Good Shepherd Magdalene Laundry, Cork City Savills are guiding €6.75m for the site of a former Good Shepherd Magdalene laundry in Cork city. The 7.8 acre property has full planning permission for 182 apartments, 20 townhouses and a crèche facility and is located in the Sunday’s Well area, within walking distance of University College Cork. It is being sold by Moneda Developments and the current planning permission allows for several blocks, two of which will be built behind the façades of the old red brick Victorian convent buildings. The Irish Independent, 2nd May

Shamrock Chambers, Dame Street, Dublin 2 Knight Frank is guiding €4.5m for a city centre site with permission for a 39-bed hotel. Known as Shamrock Chambers, the property currently comprises a five-storey-over-basement building of 18,793 sq.ft. on a c. 0.1acre site at the junction of Dame Street and Eustace Street. It is being sold by US fund Grand Coast Capital and is within 100 metres of the new Central Plaza development on Dame Street, which is due for completion by the end of 2019. The Irish Independent, 2nd May

98 Merrion Road, Ballsbridge, Dublin 4 Agent Finnegan Menton is guiding €8m (€13.3m per acre) for a “ready-to go” residential development site of 0.6 acres on 98 Merrion Road, Ballsbridge, Dublin 4 which has planning permission for 20 units. The units will consist of three penthouse apartments of 2,200 sq.ft each, 14 two-bed 1,200 sq.ft. apartments, and three one-bed 750 sq.ft. apartments. The site, which is owned by Bartra, has extensive road frontage to Merrion Road. Significantly, the property sits just 400m from the location of social media giant Facebook’s new European headquarters. The Irish Times, 1st May

Shackleton Road and Oldtown Road, Celbridge O’Flynn Construction has obtained planning permission from An Bord Pleanála for a €80m scheme in Celbridge, Co Kildare. The permission allows for 167 new houses, 84 apartments and a creche on a site at Shackleton Road and Oldtown Road in Celbridge. Construction on the first phase will begin in August with 50 to 70 units expected to sell each year. The Irish Times, 7th May



BidX1 Online Auction More than 270 lots with a combined value of c. €42m will be auctioned by BidX1 at its online auctions on May 22 and 23. 20% of the properties are commercial and are well within range of medium investors with no guide price exceeding €1m. The Irish Independent, 2nd May


If you have an article which you would like to have considered for inclusion in our next weekly report, please contact us at info@origincapital.ie

Origin Capital funds senior debt transactions in the CRE investment sector, typically in the €3m – €15m range. If you would like to discuss how Origin Capital can help with your funding requirements, please contact us on 01 662 9264.

Origin Capital is a wholly owned subsidiary of LeBruin, a leading provider of corporate finance and debt advisory solutions.