9th October (Issue 167)

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.



146A-149 Baggot Street Lower & 1 Ely Place, Dublin 2 has been brought to market by Quinn Agnew guiding €3.85m. The portfolio comprises four self-contained commercial buildings totalling 4,564 sq.ft, three of which are occupied by Chopped, Munchies and JAD Beauty with annual income of €121k. 149 Lower Baggot Street and 1 Ely Place, comprising a 3,057 sq.ft, four storey over basement is being offered with full vacant possession. Tenders are invited by 8th November 2018. The Irish Independent, 4th October

4 Parliament Street and 3 Crane Lane, Temple Bar has been brought to market by Knight Frank for €2.5m. The protected properties are Ireland’s only intact 18th-century merchant’s shop and house and have been fully conserved and restored to their exact design, winning the Diaphoros Prize from the British Georgian Society in 2017. Both are mid terraced buildings totalling 4,090 sq.ft, 4 Parliament Street is five storey over basement, 3 Crane Lane is four storey. The properties are zone Z5: city centre with permissible uses including residential, restaurant, shop, guest house, conference centre, cultural, medical and related consultants, office and hotel. The Sunday Business Post, 7th October

Johnstown Shopping Centre, Navan, Co Meath comprising of 10 units at the centre fully let producing c. €330k p.a. has been placed on the market for sale by Bannon seeking €3.8m (NIY 8%). WAULT is just under 10 years. The shopping centre is anchored by SuperValu which is an owner occupier of its unit. The Irish Times, 3rd October

Orwell Shopping Centre, Templeogue, Dublin 6W extending to 23,853 sq.ft has been placed on the market for sale by CBRE guiding €7.5m (€314 psf) with reversionary and development potential. The neighbourhood centre is anchored by SuperValu generating close to 50% of the total net rental income of €537k p.a. (NIY 6.6%). WAULT for the 10 tenants is c. 9 years with the SuperValu term remaining at c. 11 years. The Irish Times, 3rd October

Westside Shopping Centre, Galway city comprising of 14 units (25,089 sq.ft) fully let generating net operating income of c. €750k is being offered for sale by Cushman & Wakefield with a guide price of €9.6m (NIY 7.2%/€383 psf). WAULT is over 13.75 years and c. 40% of the income is generated from national covenants, including McDonald’s, Maxol, Boyle Sports and the Driving Test Centre managed by the OPW. The Irish Times, 3rd October

Clerys, 18–27 O’Connell Street, Dublin 1 A three member consortium is reported to have acquired the former Clerys premises on a 1.66 acre site for c. €63m (€2m higher than the initial guide price) from Natrium. The consortium comprises of Rockerfeller Group-owned Europa Capital, Oakmount (owned by Paddy McKillen Jnr and Matt Ryan) and Core Capital (a family office for private investors). In 2016, Dublin City Council granted permission for the development of a mixed-use scheme on the site including a boutique hotel, offices, retail space and leisure facilities. The Irish Times, 3rd& 5th October

30 Exchequer Street, Dublin 2 Ace & Tate, a Dutch optician has opened its first Irish store at 30 Exchequer Street. A 10 year lease was agreed at €95k p.a. for the 816 sq.ft unit (€116 psf). The Irish Times, 2nd October



One Wilton Park, Dublin 2 the 150,000 sq.ft office development under construction at the former Fitzwilton House site located between Baggot Street and Leeson Street bridges has been fully pre-let to LinkedIn. Property Fund IPUT has agreed a 25 year lease with LinkedIn with a guaranteed 12 year term. IPUT Chief Executive Niall Gaffney commented that the property will “deliver a projected income yield on cost in excess of 9%”. The Irish Independent, 9th October

Sandyford, Dublin 18 Knight Frank and CBRE are quoting €30 psf for Building I, Central Park, Sandyford. The property when completed will be an 8 storey, 100,000 sq.ft office block with 156 basement car parking. The property will be ready for tenant fit out by the end of 2018. Central Park generates €23.7m annually and excluding Building I, has planning permission for an additional 300,000 sq.ft on the remaining 4.5 acres. The Irish Times, 3rd October

Citywest Business Campus Bartra Capital Property and Henley Investments have bought two office blocks for €6.5m generating annual rent of €555k (NIY 7.87%). The property comprises 44,358 sq.ft and includes office/warehouse with 100 car spaces. The Irish Times, 3rd October

Georgian Properties, Dublin 2 Joint Agents Murphy Mulhall and Cushman and Wakefield have brought five fully occupied Georgian houses in Dublin 2 to market for sale. The properties comprise 17, 18, & 19 Fitzwilliam Square and 38 & 39 Lower Leeson Street. The three interconnecting four storey over basement, Fitzwilliam Square properties produce annual rent of €227.5k and the sales price is being guided at €4.3m (NIY 4.87%). They are in office use at basement, ground and first floor with six apartments in the upper floors. The Lower Leeson Street properties, which generate annual rent of €346.3k, also four storey over basement, and are guiding at €5.15m (NIY 6.2%) The Irish Times, 3rd October

The Mall, Beacon Court, Sandyford Three offices suites at the Mall totalling 10,569 sq.ft have been acquired by a private investor for €3.65m (NIY 6.8%/€345 psf). Current rent is €269.4k and will increase to €280k in 2021. The Irish Times, 2nd October



Howth Castle, Dublin 13 set on 470 acres estate including the Deer Park hotel and golf courses has been sold to Irish investment group Tetrarch (price undisclosed). It is reported that Tetrarch plans to reopen the Deer Park hotel as a luxury property and to transform the golf courses in addition to seeking planning permission to develop some of the land for housing. The Irish Times, 5th October 

Bakers Corner Pub, Rochestown Avenue, Dun Laoghaire has been purchased by a consortium supported by the Loyola Group for more than €5m. The sale also included The Forge which is an investment property comprising three retail units, two office units and three residential duplex apartments with an annual rent of €150k. Loyola Group operate The Old Spot and The Bath on Bath Avenue, The Leopardstown Inn and The Jar on Wexford Street. The Irish Independent, 4th October



Single lot portfolio of 53 units, Baldoyle, Dublin 13 comprising of houses, duplex units and apartments built 12 years ago on the grounds of the former Baldoyle Racecourse is for sale by Savills on the instructions of receiver Tom O’Brien, Mazars with a guide price of €13m. Rental income of €655k is being generated from 41 of the units with 12 units to remain vacant. ERV of the portfolio fully let is €1m equating to a reversionary GIY of c. 7.7%. The Irish Times, 3rd October

Carman’s Hall, Dublin 8 comprising of a 207 student bed development being built by Crosslane Student Developments due to open for the 2019 academic year is reported to have been acquired by Carlyle Group for €30m. Crosslane is due to complete the build with the scheme to be opened and operated under a joint venture between Carlyle and Atelier Property. The Sunday Times, 7th October

City Block 3, Dublin North Docks Kennedy Wilson has acquired a 50 per cent share in a mixed-use development site in Dublin’s North Docks with joint venture partners AXA Investment Managers – Real Assets and Cain International from receivers acting for NAMA. The total price for the 5.9 acre site is €113 million, with Kennedy Wilson making an initial equity investment of €68m. The development will include private rental accommodation and offices with planning permission in place for more than 300,000 sq.ft of Grade A office space. The Irish Times, 3rd October

Kiely’s, Donnybrook, Dublin 4 the former pub in Donnybrook village set on 0.2 acres is reported to be sale agreed by Knight Frank at c. €6m as a development site to an unnamed buyer. The Irish Times, 5th October



Pembroke Lane Car Park is being offered for sale by its owners Lisney via online tendering for in excess of €1.6m. The site is 0.14 acre and comprises of 32 surface car parking spaces at Pembroke Lanebetween Baggot Street and Fitzwilliam Square in Dublin city. There is €112k being generated from short term licence agreements equating to a NIY of c. 6.5%. The site is expected to attract interest from local professional companies and investors in addition to developers as most of it has a Zone Z1 rating for sustainable residential neighbourhoods with a small portion close to the Baggot Street end of the site falling within Z8 zoning of “Georgian Conservation Areas”. The Irish Times, 3rd October



JLL Investment Market Q3 2018 Research identifies that Q3 2018 turnover in the Irish commercial property market reached €620m from 41 transactions. This is a reduction of 35% Q/Q but up 16% Y/Y. YTD turnover has reached €2.5 billion with JLL predicting year-end turnover of €3-3.5 billion. Offices is still the largest part of the market accounting for 42% of transactions with activity largely in Dublin at 90% of total investment volumes. Overseas buyers purchased 62 per cent of total volumes in Q3 2018 including the largest transaction by Kennedy Wilson of 274 apartments and a four-acre site at The Grange in Stillorgan for €161m. The Irish Times, 2nd October

IPUT Q3 2018 Quarterly Update identifies it collected €27.9 million in rental income from its 99.6% occupied portfolio and distributed €25.2 million to shareholders in the quarter (€11.50 per share and Dividend Yield of 4.02%). Capital value and Rental value increased by 0.7% and 0.2% respectively in the quarter. The NAV of IPUT’s property fund was €2.4bn at the end of September with 69% of its assets comprising of office space, 19% in retail space and 10% in logistics with the majority located in Dublin. The Irish Times, 5th October


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.