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
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Lombard Street, Dublin 2 Knight Frank are guiding €8.5m (5.25% yield) for a 15,920 sq.ft office building on Lombard Street. The property is currently let to the Office of Public Works and is occupied by the Register of Births, Deaths and Marriages and avails of nine dedicated car spaces. Part of the property is sublet to the HSE. The annual rent is €481,710 and the tenants have a break option in 2028. The Irish Times, 26th September
Blackrock Business Park, Co. Dublin Three offices blocks totalling 50,500 sq.ft along with 96 car parking spaces located in Blackrock Business Park have been brought to market by Savills guiding €17m (6% yield). The properties are fully let, generating €1.2m per annum from seven tenants with a combined weighted average unexpired lease term of 4.5 years to break and 8.5 years to expiry. Planning permission was granted in 2017 for an additional penthouse level of offices of 4,596 sq.ft to one of the blocks. The Irish Times, 26th September
George’s Quay Plaza, Dublin 2 Cushman and Wakefield are seeking interested parties to sublet 7,876 sq.ft of top-class office space at George’s Quay Plaza, Dublin 2 beside Tara Street Dart station. They are seeking rent of €57.50 psf along with €3,750 per each of the four basement car parking spaces. The 8 year sublet is being organised on behalf of Amundi Ireland Ltd. The Irish Times, 25th September
Citywest Business Campus TWM are guiding €7.35m (7.2% yield) for the Miele Ireland Headquarters and a Unitied Drug warehouse in Citywest Business Campus. The 3 acre site is one of only four businesses fronting the N7 and include 67 surface car parking spaces. Miele occupy a 19,127 sq.ft, two storey office building, at €410,000 per annum, on a 25 year lease which expires in 2033, and is guaranteed by a parent company. There remains an outstanding rent review from May. United Drug occupy the entire 30,278 sq.ft warehouse on a one year lease from July 2016 at €165,000 pa. The Irish Times, 26th September
14-15 Sir John Rogerson’s Quay which is the Columbia Mills building built in the 1890s has been brought to market with vacant possession guiding €5.65m by Cushman and Wakefield. The 8,401 sq.ft three storey over basement is currently in office use but may have potential for redevelopment subject to planning permission. Some elements of the property including the façade are protected. The Irish Times, 26th September
Cork and Limerick Office In Cork, 355,209 sq.ft of office space is under construction of which 196,980 sq.ft have obtained occupier commitments. A further 1,903,059 sq.ft of office space has been granted planning permission. Cushman & Wakefield research notes that Cork office rents have stabilised at €33 psf and that prime office yields could harden by 15 basis points to 5.5% by the end of 2018.
Limerick’s €20m major regeneration project known as the International Gardens which extends to 111,945 sq.ft has seen half its space let to Nordic Aviation Capital, the world’s largest regional aircraft lessor. Cushman & Wakefield estimates that the amount of space under construction in Limerick in Q2 2018 increased to 322,917 sq.ft. There is 780,383 sq.ft of office space in the planning pipeline for Limerick including the city and suburbs. Prime Limerick rents are €30.19 psf but could rise by a further €2.3 psf to €32.49 by year end according to Cushman & Wakefield, who also predict yields for Limerick offices could hard by 25 basis points to 6.25% by year end. The Sunday Business Post, 30th September
Fairgreen Shopping Centre, Mullingar has been brought to market by CBRE guiding €8.6m (7.34% yield). The annual rent is €685,029 which includes income form the 300 space basement carpark. Tenants include Penneys, TK Maxx, New Look, Elverys and Dealz. In addition there are two vacant units (9,000 sq.ft) that if let, could generate a further €140,000. The property was previously brought to market in 2017 guiding €11m. The Irish Times, 26th September
Ashtown, Dublin 15 Knight Frank are seeking €6.3m (8.46% yield) for a 26,317 sq.ft supermarket which will be let to Aldi on a 25 year lease with 5 year rent reviews and initial rent of €412,320. The investment is being sold on behalf of Ballymore which has completed 1,200 houses and apartments in the adjoining Royal Canal Park. Knight Frank have advised that the supermarket will reach “practical completion” by November or December and will be open for Business in early 2019. The Irish Times, 26th September
39 Lower St Stephen’s Green, Dublin 2 has been brought to market by McNally Handy & Partners guiding €1.6m. The property comprises ground floor retail with a one-bed apartment at the first floor and two bed duplex apartment on the 2nd and third floors. The total property generates €76,300 per annum and is located beside the Hairy Lemon bar between the Drury Street and South William Street. The Irish Times, 26th September
1 Lincoln Place, Dublin 2 CBRE have brought a mixed use investment located at 1 Lincoln Place to market guiding €3.25m (5.78% yield). The property is located at the corner of Westland Road and Lincoln Place. Tenants including Café Sol, Sweeny’s Café and three overhead residential units with an annual rent roll of €130,000 of which €73,680 relates to the residential element. The Irish Times, 25th September
Premier Suites Plus Aparthotel, Ballsbridge, Dublin 4, a 49 unit property, has been acquired by Aviva for a figure between €15m and €20m. This sale and leaseback deal with the property’s previous owner the Prem Group, represents Aviva’s first venture into the hospitality market. The Prem Group have entered a 35 year lease at a 5% net initial yield. The Irish Independent, 28th September
Apollo House Site, Dublin 2 Mazars has engaged Savills to manage the sale of the 0.72 acre site which is the site of the former Apollo House office block. The site fronts on to Tara Street and Poolbeg street and is expected could achieve more than €40m. The site has full planning permission for 135,863 sq.ft, 11 storey over basement office block. There are also facilities for retail café, restaurant and bar on the ground floor. Planning also includes a double basement for 40 car parking spaces and 166 bicycles. The Irish Times, 26th September
Douglas, Co. Cork the Irish Independent reports that 42.99 acres of residential development land in Douglas, Co. Cork has been brought to the market by CBRE. The land is being offered as a single lot, of which 18.65 acres has full planning permission for 198 houses and a crèche and the remaining 24.34 acres is zoned for “medium-density residential use”. A licence to develop the 198 units is being offered, along with the option to purchase the remaining zoned lands at a future date. The guide price for the licence is €12.9m, which is to be paid in an upfront fee with the remaining consideration paid in instalments as units are built and sold. The option lands are guiding €7.3m. The Irish Independent, 27th September
Round Gardens, Citywest Savills are guiding €7.25m for 32 apartments at the Round Gardens Scheme in Citywest. The crescent shaped scheme was developed in 1999 and comprises a mixture of one, two and three bed units with surface car parking. The annual rent is €560,000 (7.7% yield). The Irish Times, 25th September
Fuel Yard Development, Finglas Savills are guiding €4.25m for 18 apartments at Fuel Yard development on the N2 in Finglas. The mix of one two and three bed apartments are within a five storey block which includes two shell and core office units and a vacant retail unit, along with 18 secure car parking spaces. Savills advises planning permission could be sought to convert the vacant units to residential. The current rent roll is €262,000 (6.16% yield). The Irish Times, 25th September
Bloomfield Park, Donnybrook, Dublin 4 Savills are guiding €4.5m (5.62% yield) for eight apartments within the Bloomfield Park scheme in Donnybrook (€563k per apartment). Each apartment is a c 810 sq.ft, two bed apartment with its own balcony and car parking space. The annual rent roll is €156,000 which could increase by a further €22,250 if the eighth apartment is let. The Irish Times, 26th September
Newmarket Square “Liberties Site” a site on Newmarket Square, adjacent to Teelings Whiskey Distillery with planning permission for 80,000 sq.ft of retail and office development has been purchased for an undisclosed sum by a consortium that includes Revelate Capital and Valorem Investment Partners. The Irish Times, 27th September
Donore Avenue, Dublin 8 CBRE are guiding €6m for a 0.82 acre site located on Donore Avenue, off the South Circular Road. The site has planning permission for 70,000 sq.ft of office. Henry J Lyons have prepared a feasibility study which states that subject to planning permission, a 210 bed co-living/student accommodation could be achievable. The Irish Times, 26th September
Shankill, Dublin 18 Knight Frank are guiding €4.5m for a detached house and 2.65 acres on Stonebridge Road, Shankill. RKD Architects have produced a feasibility study showing the site can accommodate 34 detached and semi-detached houses or 42 houses, duplexes and apartments. The Irish Times, 25th September
BidX1 Highlights Emmet Manor, a block of 32 two-bed apartments in Inchicore, Dublin 8 was sold on BidX1’s online auction for €3.416m, 22% in excess of its €2.8m reserve. A record number of 580 competing bids were received on the property. Separately, The Benbulben Suites in Sligo comprising 52 two-bed suites along with a detached industrial building, providing a mix of office and warehouse accommodation was sold for €3.171m, €1.2m above the guide price. The Irish Independent, 27th September
Public Private Partnership Social Housing Sisk and its joint venture partner Macquarie have won the bid, worth €300m, for the first public private partnership social housing tender. The contact is to build 534 homes in six Dublin area commuter locations The Sunday Business Post, 30th September
2018 Commercial Investment Forecast The level of investment in Irish commercial real estate is set to hit €3.5bn according to TWM property advisors. While this is a 8.6% increase on 2017 figures it will fall below the record of €4.5bn recorded in 2016. The largest deal to date was €176m for Eir’s headquarters in Kilmainham Dublin 8 The Sunday Independent, 30th September
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AIB Bank Centre, Ballsbridge Johnny Ronan is expected to commence the development of part of AIB Bank Centre in the coming weeks. The first phase of Facebook’s new EMEA headquarters will be the 333,000 sq.ft Fibonacci Square, which will be within a larger 700,000 sq.ft campus. It is reported that Facebook’s heads of terms have been finalised although details are unknown. The Irish Independent, 20th September
Citywest, Dublin CBRE are seeking offers in excess of €38m for the Eir Network Management Centre at Citywest Business park. The 77,490 sq.ft property comprises a three-storey office with single storey laboratories. The property is occupied by Eircom Ltd on a 25 year FRI lease from September 2010, with no break options. The current rent is €2.2m pa with uplifts in 2025 and 2030. The property is being sold by Irish UK investment group SW3, who are also selling J5 Plaza in Dublin 11 (€11.25m asking price) and the Dublin Business School on Aungier Street, Dublin 2 which is guiding €15m. The Irish Times, 19th September
New Century House, IFSC a 80,000 sq.ft office building, has been sold by Hibernia REIT for €65.3m (€816 psf) to a fund managed by Credit Suisse Asset Management Global Real Estate. The annual rental income is €2.9m (4.4% yield) The Irish Times, 19th September
1 Sir John Rogerson Quay, Dublin The Sunday Independent reports that Hubspot, a US tech company, is in advance stages of negotiations with Hibernian Reit to lease 115,000 sq.ft of office space at 1 Sir John Rogerson’s Quay for €60 psf. The Sunday Independent, 23rd September
81 Grafton Street, Dublin 2 Rituals, will open its first Irish store on Grafton street and has agreed an annual rent of €450,000 pa (€381 psf) for the former H Samuel Jewellers store. The Dutch company is one of Europe’s fastest growing beauty brands with over 500 stores in 27 countries worldwide. The Irish Times, 19th September
Donnybrook Fair the grocery chain, has been acquired by retail group Musgraves for c. €24m. Musgraves have announced that they intend to convert some of their Centra outlets into Donnybrook Fairs. The Sunday Business Post, 23rd September
The Liberties, Dublin Harry Crosbie has lodged plans for a 185 bed hotel at his Vicar Street venue in Dublin. He previously sought planning permission for a 194 bed hotel in 2008 and although approved, no development took place on account of the recession. The Times, Irish Edition, 23rd September
Docklands, Dublin Johnny Ronan, through Ronan Group Real Estate (RGRE) and partners Colony Capital, have bought a 4.6 acre site in the docklands next to the 3 arena for c. €180m (€39m per acre). The site has planning for 300,216 sq.ft of offices and 420 apartments. The Irish Independent, 19th September
Bettystown, Co Meath a 23.5 acre site with planning permission for 202 houses has been brought to market by Robert B Daly & Son guiding €8m (€340k per acre / €40k per unit). The Irish Times, 18th September
Carriglea, Bluebell, Dublin 12 Savills are seeking €12m for a 6.55 acre site in Bluebell, Dublin 12 with planning permission for 358 apartments (€1.8m per acre / €33.5k per unit). The site has approval for 76 one-bed, 219 two-bed and 63 three-bed apartments along with commercial units, a crèche and gym and 358 basement car parking spaces. The Irish Times, 18th September
Harold’s Cross, Dublin 6 A 1 acre site has been brought to market through JLL guiding €3m. The site currently consists of 20,000 sq.ft of offices and warehouses. The site has the capacity to accommodate 15 townhouses or 28 apartments according to a feasibility study prepared by BKD Architects. The Irish Independent, 20th September
Brennanstown Road, Cabinteely a 29.4 acre site with capability to accommodate 400 residential units and 6,458 sq.ft of commercial units has been brought to the market through CBRE guiding €35m (€1.19m per acre) The Irish Independent, 19th September
Celbridge, Co Kildare a 5.45 acre residential site has been brought to market by Coonan Property guiding €4.4m (€807k per acre)The Irish Times, 19th September
Swords Road, Dublin 9 a 6.75 acre site on the Swords Road has been bought by developers Fergus Lynch and Kieran Gannon for €30m (€4.4m per acre). The site has planning permission for 358 apartments, 105 surface car parking spaces and 413 basement car parking spaces. The site had been brought to market guiding €18m. The Irish Times, 19th September
Green Reit have announced that they intend to invest in warehousing properties in the coming years as they anticipate the logistics sector will expand and they are going to wind down their retail interests. The company currently has €1.4bn in assets with a development pipeline of around €600m. The Sunday Business Post, 23rd September
Cushman & Wakefield Irish Development Land Market H1 2018 reports that c€380m has transacted in development land in the first half of 2018, a 61% increase year on year. Residential development was the main contributor, representing 86% or €233m of these transactions. Although the value has increased, the number of sites sold has decreased year on year by 15%. The majority of the transactions were in the Greater Dublin Area, representing 79% of the transactions in the year to date. Cork has increased the number of transactions year on year by 25%. Galway and Limerick however, witnessed a slowdown in their markets. The market is expected to further strengthen with €300m sale agreed at the end of June 2018.
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Frascati Shopping Centre, Blackrock Co. Dublin Aldi and Five Guys have confirmed they will open in the Frascati Shopping Centre before the end of October. The cost of the refurbishment and extension from 100,000 sq ft to 170,000 sq ft of the Shopping Centre is expected to be excess of €30m bringing the overall investment by Invesco Real Estate to over €100m. The Irish Times, 12th September
10 St Stephen’s Green, Dublin 2 has been placed on the market for sale by Bannon guiding €4.25m (€817 psf). The 5,202 sq ft Georgian, three storey over basement will be available with vacant possession from early 2019. The Irish Times, 11th September
The Purty Kitchen Pub, Dun Laoghaire as a going concern has been brought to market for sale through Morrissey’s guiding €1.1m with full and final offers required by 5pm 4th October. The Irish Times, 11th September
Tifco The Irish Times reports that Apollo Global Management, a US private equity firm, has agreed to purchase Tifco for c. €600m. Tifco is Ireland’s second largest hotel chain owning 18 hotels and two hotel sites in Dublin. The Irish Times, 12th September
Seán McDermott Street, Dublin 1 Dublin City Council has proposed to retain €7.5m of the €14.5m sales proceeds from the former Magdalene laundry site on Seán McDermott Street for local projects. The site is being sold to the Japanese hotel group Toyoko for €14.5m. It is reported that Toyoko will invest €50m in the project. The Times, Irish Edition, 12th September
John Player Cigarette Site, Dublin 8 The Sunday Business Post reports that the former John Player Cigarette Site in Dublin 8 controlled by NAMA could be sold to private developers for c. €90m. The site could hold over 600 new homes and was due for redevelopment as a joint venture between a builder and NAMA but Receivers over the asset have recently asked sales agents for open market sale proposals. The Sunday Business Post, 16th September
Palmerstown, West Dublin McGrath Property Group has sought planning permission for 303 apartments on a 3.2 acre site in Palmerstown in West Dublin in two apartment blocks ranging from three to eight storeys. The site currently has planning permission for 14 retail units, a supermarket, restaurants, 39,073 sq ft three storey office block, a 168 bed apart hotel and 76 apartments. The planning application submitted is seeking permission for 26 studio units, 125 one-bed, 133 two-bed and 19 three-bed apartments with communal roof gardens and underground car parking. The Irish Independent, 13th September
11.6 acres, Celbridge Coonan Property is guiding €8.7m (€750k per acre) for 11.6 acres at Shackleton Road, Celbridge, Co. Kildare. The rectangular site located c. 1 km from Celbridge is zoned residential and tenders are required to be submitted by 12pm on 11th October. Coonan Property, 12th September
Fumbally Lane, Dublin 8 A 0.55 acre site located at Fumbally Lane, Dublin 8 is being offered for sale by joint agents Knight Frank and JLL guiding €10m (€18.1m per acre). The site has planning for 34 apartments above a restaurant and 30,000 sq ft of offices and 24 space surface car park. ODAA Architects has prepared a feasibility study to reconfigure the current planning to a 209 bed hotel. The Irish Times, 12th September
Clonsilla Road, Dublin 15 A 1.9 acre site has been brought to the market for sale guiding €2.5m by Lisney (€1.3m per acre). The site is zoned Town and District Centre in the Fingal County Council Development Plan 2017 – 2022 which provides for a wide range of uses. The Irish Times, 12th September
Harold’s Cross, Dublin 6 A part two and part three storey protected monastery building in Harold’s Cross, Dublin 6, with planning permission to be converted to 32 duplexes and apartments (mix of one and two-bed units) is on the market for sale through Lisney at €3.5m. Lisney has also opined that there is potential for some additional residential units on the grounds of the monastery. The Irish Times, 12th September
94/95 Lower Mount Street, Dublin 2 is being guided at a sales price of €1.75m by Lisney. The property comprises two three-storey over basement connected properties on 0.104 acre with development potential. The buildings are currently used as retail on the ground floor with residential above. The Irish Times, 11th September
No. 6 Hatch Street, Dublin 2 has been bought to the market for sale guiding €1.625m (€595 psf) by CBRE. The 2,730 sq ft Georgian property, currently in use as offices, comprises a four-storey over basement with rental income of €114,563 p.a. (5.3% GIY).The Irish Independent, 13th September
Sharp Building, Dublin 2 A 47,500 sq ft grade A office building with 2,250 sq ft coffee shop and 40 space basement carpark pre-let to Perrigo at €55 per sq ft has been sold for €56.3m equating to a GIY of 4.8% on €2.7m annual rental income. The purchaser is an undisclosed institutional investment fund advised by Credit Suisse. The Irish Times, 12th September
Rathmines, Dublin 6 New agent ACRES (All Commercial Real Estate Services) has brought La Touche House on Grove Road, Dublin 6 to market guiding €3.3m. The 7,981 sq ft four storey office building is let to EC English at €207.5k p.a. (6.28% GIY) to increase to €239.4k p.a. in year five. The 15-year lease commenced in January 2018 with break options in years 6 and 12. The Irish Times, 12th September
Clondalkin, Dublin 22 A 64,000 sq ft office complex with 47,300 sq ft vacant space and 211 car parking spaces known as Dolcain House has been offered for sale by Cushman & Wakefield quoting €4.8m (€75 psf). The property comprises three office blocks. Block B is occupied by SIAC on a five- year lease from February 2014 at €100,750 p.a. with additional income of €77.4k p.a. generated from roof telecom masts. The Irish Times, 12th September
No. 45 Mespil Road, Dublin 4 is to be redeveloped from its current dilapidated office block, to a new 48,000 sq ft, six storey office block. The redevelopment, which is expected to complete by Q3 2019, is being handled by Davy Real Estate for one of its pension funds. Knight Frank is the letting agent. The Irish Times, 11th September
Heather Industrial Estate, Dublin 8 on the South Circular Road and an adjoining three bed house is for sale through joint agents Lisney and PALRE for more than €7m. The 2.84 acre site currently zoned Employment/Enterprise includes 72,549 sq ft of buildings generating rent of €542k p.a. from five tenants including An Post with WAULT and WAULB of 7.3 years and 5.4 years respectively. The Irish Times, 12th September
Green REIT Preliminary Results for the FYE 30th June 2018 identify that profits increased 11% YoY with pre-tax profits of €144.2m. The REIT’s total portfolio value rose to €1.42bn from €1.38bn and rental income increased by 12.4 percent to €67.9m YoY. EPS rose by 10% YoY to 20.8c with EPRA NAV per share rising 8% YoY to €1.79 per share despite the increase in stamp duty in October 2017. A dividend of 2.7 cent per share (€18.8m in total) is due to be paid to shareholders in October 2018 bringing the total dividend for the year to 5.3c per share. The Irish Times, 18th September
H1 2018, Construction Projects According to figures from Construction Information Services, the number of construction projects commenced on-site for H1 2018 reduced 6% YoY to 1,278. However, the value of projects on-site increased 7pc YoY with c. €4bn worth of projects commenced in H1 2018. Only three sectors increased volumes with numbers of residential projects up 15% to 321, industrial up 24% to 140 and community and sport projects up 22% to 115. The number of dwellings commenced increased by 12% YoY to 9,100 while the numbers of units granted planning permission significantly increased 66% to 13,000 excluding student accommodation. A factor attributed to the increase of projects in the planning system is the fast-track Strategic Housing Development initiative for Developers with plans comprising greater than 100 new homes. The Irish Independent, 18th September
Crane Count The Irish Times’ Crane Count for Dublin City Centre was at its highest since it commenced its survey in Q1 2016 at 93 cranes as at 1st September and an increase of 18% on its July count. The Irish Times, 11th September
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Swords Central Shopping Centre has been brought to market guiding €21.5m through JLL. The property comprises 30,000 sq.ft retail and a 320 space car park which generates €1.3m per annum from the retail tenants and €280,000 per annum from the car parking. While the anchor tenant Penneys owns its store, other tenants include An Post, More 4 Less, The Works, Specsavers and Holland & Barrett. There is also a 742 sq.ft vacant unit available to let for €60,000 per annum. The Irish Times, 5th September
Wilton Shopping Centre Cork, which is the 2nd largest shopping mall in Cork after Mahon Point, will be sold for “at least €86m” by Savills, the Irish Times reports. The Property is currently owned by investor York Capital (90%) and Paddy McKillen’s Clarendon Properties (10%) and was bought from NAMA in 2016 for reportedly €70m. The asking price is €76m for the current 121,632 sq.ft centre and €10m for the area covered by the conditional planning. Cork City Council have indicated that they are willing to grant planning for a 75,347 sq.ft retail, 190-bed hotel, offices and cinema along with a car park. The property generates net rental income of €5.54m per annum and tenants include Penneys, Eason, Specsavers and Boots. Tesco own their own store within the property. The Irish Times, 7th September
City East Retail Park, Limerick has been brought to market guiding €28m by Savills. The 178,764 sq.ft property is split into two detached blocks along with 525 car parking spaces. The property generates an annual rental income in excess of €2.3m from tenants comprising B&Q, Harvey Norman, Home Store and More, Halfords, EZ Living, Maxi Zoon and Home Savers. The property also has planning permission for an additional 15,360 sq.ft retail unit beside B&Q and also a 2,626 sq.ft coffee pod. The Irish Times, 5th September
Upper Baggot Street, Dublin 2 JLL have brought a mixed use retail and office building located at 15 & 17 Upper Baggot Street to market guiding €3.85m. The properties can be sold as one or two lots, €1.8m for number 15 and €2.05m for number 17. The two properties generate €211,697 per annum from seven separate tenancies including Eathos Café and Baggot Street Wines. The Irish Times, 5th September
22-23 Dawson Street, Dublin 2 has been brought to the market by Savills guiding €6.25m. The property comprises 6,500 sq.ft, five storey over basement, mid terraced building. It includes retail on the ground floors with four luxury apartments above and generates €323,000 per annum which would equate to an initial yield of 4.85%. Retail tenants include Amuse Restaurant, Tang and Sunglasses.ie and each apartment spans an entire floor along with a landscaped roof garden. The apartments are let to a single occupier on a recently agreed 5 year lease. The Irish Independent, 6th September
Crowe Report, Q3 2018 notes that their 2018 Ireland Hotel Industry Survey shows a seventh consecutive year of growth, across all regions, in turnover with record profit levels, occupancy levels and average room rates. There are currently 3,000 rooms under construction in the Dublin market alone. Tourism levels were 6.03m at the end of July 2018, an increase of 8% on the same period in 2017. STR European Hotel Review shows Dublin RevPar YTD July 2018 of €119.62 compared to €110.76 YTD July 2017. The average daily rate (ADR) in Dublin was €143.61 in July 2018, an increase of 6.7% on the previous year. All Ireland which includes Cork, Limerick, Galway, Dublin Waterford and Kilkenny has seen 1.4% occupancy increase to 76.4% and 14% ADR growth to €93.82
Dublin Airport Tifco and Arora Hotels have been shortlisted to design, build and run a 400 bed hotel linked to Dublin Airport’s terminal 2. Tifco owns or manages 24 hotels and is backed by Goldman Sachs. Arora operates three hotels at Heathrow airport and two hotels at Gatwick Airport. The planning for the 11 storey building at Dublin airport is due to expire in March 2019. The winning bidder will fund the hotel and operate it for 100 years. The Sunday Times, Irish Edition, 9th September
9.63 acres in Cabra with planning permission for 419 apartments, a house, commercial and community facilities has been brought to the market by Savills guiding €32m on behalf of Marlet Property Group. The site is 600m from Cabra’s Green Luas line station. The Irish Times, 5th September
12.5 acres Celbridge, Co Kildare Coonan Property have brought a 12.5 acre residential site to the market guiding €9.4m (€750,000 per acre). The site is zoned “new residential” and given the size of the site, it is anticipated that any planning application would be large enough to be “fast tracked” under the Strategic Housing Development Act. The Irish Times, 5th September
4.47 acres Bray, Co Wicklow a 4.47 acre residential site located on Putland Road has been brought to the market guiding €6m (€1.34m per acre) by CBRE. The site has recently been rezoned “high density residential”. There are currently two buildings on site one of which is a protected structure and will provide any potential purchaser with short-term rental income. The Irish Times, 4th September
36.4 acres Newbridge, Co Kildare Savills have brought a 36.4 acre site in Newbridge in Co Kildare to market guiding €12m (€330k per acre). The site has planning for 280 residential units, a 3,305 sq.ft crèche and 76,607 sq.ft nursing home. The residential units will comprise 180 houses, 56 duplexes and 44 apartments. The Irish Independent, 6th September
Artane, Dublin 5 QRE Real Estate Advisers are seeking €3.75m for a portfolio of 14 apartments in the Brookwood Abbey scheme in Artane, Dublin 5. The apartments are located within a 40 apartment scheme and generate €213,600 per annum. There are three two bed apartments currently vacant. Based on the asking price, and a fully let portfolio with an estimated rental value of €275,000 per annum, a purchaser will secure a gross yield of 7.3%. The portfolio comprises 11 two-bed, one three-bed and two one-bed apartments. Irish Independent, 6th September
Glasnevin, Dublin 9 Sanderly Holdings Limited has applied to Dublin City Council to demolish buildings at Glasnevin Motors site in Dublin 9 and to construct 74 apartments across two 5-6 storey blocks. The 100,000 sq.ft development will also include small retail units and a communal area. NWL Issue 274
Sandford Road, Ranelagh Agar Property Consultants are seeking offers in excess of €2m for 0.3 acres on Sandford Road, Dublin 6. The site comes with a Z2 residential zoning and a feasibility study shows there is potential for 12 homes, comprising six 2-bed duplex apartments and six 2-bed apartments. Agar Commercial Property Consultants, 7th September
Irish Housing The Irish Times reports that while new home completions have increased 34% year on year with 3,526 completed in Q1 and 4,419 in Q2, it still falls short of the 35,000 required to meet demand. The majority of new homes completed in 2017 were in Dublin and the commuters counties Kildare and Meath. Despite house prices increasing 76% since 2012, remuneration has only increased by 7.3% in the same period. Property prices in Dublin have increased 3.3% in the year to date compared with 4.7% during the same period in 2017. It is anticipated that prices will finish 6-7% higher by the end of the year compared to 8.8% in 2017. The Irish Times, 6th September
Building Costs According to Linesight (formerly Bruce Shaw), the cost of building a family home has risen 7.5% in the last year. The surveyor firm’s figures show the pure construction cost of an average estate home now runs at between €1,260 a sq m (€117 per sq.ft) to €1,610 a sq m (€149.58 per sq.ft). Linesight bases its calculation on a 100sq m (1,076 sq.ft) dwelling, implying a total building cost of €126,000 to €161,000 for the average family home. Linesight also estimates that the construction industry will be worth €21 billion to the economy this year. The Irish Times, 11th September
Galway Docks An Bord Pleanála has approved Gerry Barrett’s €100m development comprising 279,850 sq.ft office, 21,581 sq.ft retail and 350 student beds located at Queen Street, overlooking Galway docks. Mr Barrett was also recently awarded the contract by CIE to develop 8.2 acres beside Ceannt Railway Station in Galway city centre including a 200 bed hotel, 400 apartments, retail centre and transport hub. Patricia Staunton of Cushman & Wakefield has been engaged to manage the office lettings. The Irish Times, 5th September
13/14 Aungier Street,D2 has been brought to the market by Savills guiding €15m (€532 per sq.ft / 4% yield). The 28,180 sq.ft property is let on a long lease to Dublin Business School at €675,000 per annum. There is 10.3 years remaining with no breaks. The rent will be reviewed next December and is subject to upwards-only reviews. The Irish Times, 5th September
J5 Plaza, North Road, Dublin 11 has been brought to the market by Savills guiding €11.25m. The 62,221 sq.ft office building is fully let. The HSE let the majority of the property at €11 per sq.ft. The final floor has since been let at €18-€19.50 per sq.ft by three separate tenants including a company responsible for the Exam Centre. The property was previously sold by NAMA in 2013 for €6.5m. Savills are handling the sale for SW3, an investment group comprising Ned Truman, Adam Room and Tom O’Mahony who are the same consortium who are seeking to sell 13/14 Aungier Street. The Irish Times, 5th September
Hewlett Packard (HP) Campus, Leixlip, Co Kildare has been acquired by Michael O’Flynn and BlackRock Real Estate Assets for a reported €51m. This deal represents one of the largest industrial transactions to have taken place in Ireland. The campus comprises 1.47 million sq.ft across nine buildings on 195 acres. Occupiers include Hewlett Packard Enterprise, MGS, Global Enserv Solutions and Celestica. 600,000 sq.ft of the campus is currently vacant. The new owners intend to rebrand the campus to Liffey Business Park. The Irish Independent 6th September
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Dublin Airport Central Kellogg, the US multinational food company, has been confirmed as the first tenant in the Dublin Airport Central office scheme currently under construction. Kellogg will pay €33.75 per sqft for 38,750 sqft across two and a half floors of the 91,494 sqft, six storey office block, and €1,750 per car space. The office block is one of two office blocks currently under construction, the second will comprise 123,786 sqft. The Dublin Airport Authority have planning permission for 448,854 sqft of offices and associated facilities across four buildings. Kellogg’s fit out of their office is due to commence in Q2 2019. The Irish Times, 29th August
Office Construction Levels are reported to be back at “boom time” levels being driven primarily by demand from finance and technology firms. WeWork, a US multinational, accounted for 15% of total take up in 2018. HWBC’s half yearly report of the Dublin office market notes that over four million square foot of office space is currently under construction. Of the works due to complete in 2018, 70% have pre-commitments in place with tenants. HWBC note a major concern is the lack of rental accommodation available and this has caused employers such as Google and JP Morgan to purchase office buildings with apartment complexes on site. The report notes that headline rents have remained at €60-€65 per sqft. The Irish Times, 31st August
Donnybrook House Since acquiring Donnybrook House for €10m, U+I, a UK property group along with US investor Colony Capital, have spent c€15m on redeveloping the property, including adding a fourth storey and 2ndfloor basement level. 45,000 sqft office together with 4,000 sqft restaurant and 2,000 sqft café is now available for letting through CBRE and Colliers and is expected to produce an annual income of €2.5m – €3m. Negotiations are in advanced stages for an 18,000 sqft basement level gym. The property, which also offers 27 car spaces is expected to draw interest of high-tech companies. The Irish Times, 29th August
Dublin Docklands The Sunday Times reports that Arthur Molloy and Michael Sherry, owners of Molloy & Sherry Logistics and Warehousing Group are seeking planning permission for a €40m, nine storey office development in Dublin Docklands. It is reported that they plan to restore the façade of 73 North Wall Quay, which is a protected structure, but replace the remainder of the property with a c 40,000 sqft office block. The Sunday Times, 2nd September
Druids Glen Hotel & Golf Resort a 145 bedroom hotel along with 349 acre estate with two 18-hole championship golf courses has been brought to market by Savills guiding €45m, two months after the K Club in Kildare was brought to market guiding €80m. The latter has attracted more than 100 inquiries primarily from Asia and the US. Druids Glen also consists of a health club and spa, eight conference rooms, a 160 seat restaurant and function room which can accommodate 400. The Irish Times, 29th August
Castle Oaks House Hotel, Limerick has been brought to market with CBRE guiding €2.5m to €2.75m. The four star hotel consists of a 20 bedroom Georgian building with an additional 22 bedroom extension to the rear. The Irish Times, 29th August
20 Acre Site, Newbridge, Co Kildare has been brought to market by Jordan Auctioneers and is expected to obtain offers in excess of €4m (€200k per acre). The site which is zoned residential, does not currently have planning permission but has capacity for 255 homes. The Irish Times, 28th August
Irish House Prices An IPAV report notes that residential house prices have fallen by 12.24% or €150,000 and the average cost of a home in Dublin 4 is now €1,225,000. Other areas where values have fallen are in Dublin 1, 3, 4, 6 & 15. House prices have risen in areas such as Malahide and Howth by 9.75%. The largest price rises for four bed were recorded in Laois (18%) and Kilkenny (14%). The Irish Independent, 2nd September
Separately ratings agency S&P have noted that Irish house prices are heading for a “soft landing” but notes this will occur after another three years of growth until supply catches up with demand. It forecasts growth of 9.5% this year reducing to 8% growth in 2018, 7% in 2020 and 6% in 2021. S&P note that the house price growth has been sustained by institutional investors / buyers who accounted for c1/5th of 2017 residential transactions. S&P note the main cause of the house inflation is the supply shortage and note it will take until 2021 before demand is met. The Irish Times, 3rd September
Willsborough Industrial Estate, Dublin 17 Savills are seeking offers in excess of €5.7m for four logistics buildings located at Willsborough Industrial Estate, Dublin 17 which will equate to a yield of 6.5%. The four properties comprise 46,284 sqft along with 68 car parking spaces. The three tenants Three, Virgin Media and Kedington Ltd pay an annual rent of €402,500. The Irish Times, 29th August
Grange Castle Business Park, Lucan EdgeConnex, an American data centre operator is intending to construct two more high-tech facilities totalling 64,583 sqft on 16 acres at its existing site in Grange Castle business park in Lucan. They previously built a 48,437 sqft data centre in 2016 and extended this by a further 16,145 sqft last year. It is reported that the first phase of the data centre cost in the region of €30m and the proposed development will require similar levels of investment. The Irish Independent, 2nd September
Hotel Chocolat, a UK retailer will open its first Dublin store at 1 GPO Buildings Henry Street. The 1,830 sqft retail unit has achieved an annual rent of €170,000 (€92.89 per sqft). The Irish Times, 29th August
BidX1 The Irish Times reports that Pollen Street Capital, a UK private equity house, have bought a c45% – 50% stake in BidX1, the online auction platform, to assist with their expansion into South African, Greek and Spanish markets. The Irish Times, 3rd September
BidX1 will host two online auctions in September. 403 residential and commercial properties will be auctioned with the residential property auction on 18th September and commercial property auction on 20th September. Block C, Emmet Manor Inchicore, Dublin 8, a block of 32 flats, with an 87.5% occupancy rate generating €291,772 p.a, has a guide price of €2.8m. The adjoining Block B, Emmet Lodge sold this year on the BidX1 platform for €3.2m. BidX1 note that this block was fully let, generating €430,080 p.a. A 52 bed tourist / student accommodation and detached light industrial building in Sligo has a guide price of €1.9m. The Irish Independent, 30th August
CBRE Bi Monthly September Report notes 1.7 million sqft of office take up in the first half of 2018 with recent lettings including 59,201 sqft to Google at Grand Canal Quay, and 50,000 sqft to WeWork at 5 Harcourt Road, Dublin 2. The report notes 30 office schemes are currently under construction and prime rents are €65 per sqft in Dublin City Centre.
Irish retail is resisting the decline observed in Europe currently with consumer spending increased by 2.3% and online sales increased by 4.9%. Prime retail rents in Grafton Street are currently €603 per sqft.
1.17 million sqft of industrial and logistics space has been taken up in Dublin in the first half of 2018 and construction of 118,833 sqft and 109,242 sqft due for completion in the coming months in Baldonnell and Greenogue respectively. Prime Dublin industrial rents are €9.49 per sqft, reducing to €5.99 per sqft in secondary Dublin and €5.57 per sqft provincially.
The investment market has seen an investment of €1.86 billion in the first half of 2018. €400m of development land sales completed in the first six months of 2018. 11 Hotels transacted in the first half of the year but hotels such as Druids Glen have been brought to market and refurbishment works have commenced on the first Hard Rock Hotel, formerly the Parliament Hotel. Prime Dublin vacant possession hotel yields are 6% for 5 star hotels, increasing to 6.25% for 4 star and 6.75% for 3 star.
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Donnybrook Hotel Planning permission has been granted for a 71 bed, six storey hotel beside Donnybrook fire station. The planning has been granted to Emmet O’Neill’s firm Kouchin. Emmet O’Neill is the former head of Topaz and founder of Smiles Dental. Kouchin reduced rooms from 78 to 71, amongst other measures, in response to local concerns. The Irish Independent, 24th August
16-18 Pembroke Street Revised planning permission has been submitted to an Bord Pleanála for a five storey over basement, 108 bed hotel. Plans have been lodged by a consortium including US businessman Brian Clingen. The Irish Lights building was purchased in 2013 for €3.5m but previous plans to convert it to a hotel were rejected, and subsequent plans to convert it to an office did not proceed. The Sunday Business Post, 26th August
The Hive U+I, a UK property group who are working with Collen Construction, have started work on Ballymoss House site in Sandyford. The company intends to deliver more than 73,000 sqft of office space by redeveloping and refurbishing the existing property. U+I have noted that this project will form part of a pipeline of c 250,000 sqft they are developing in Dublin including Donnybrook House and Carrisbrook House in Dublin 4. Ballymoss House in Sandyford will be rebranded as “The Hive”. The Irish Independent, 23rd August
Dublin Docklands Savills and Owen Reilly are seeking €52.5m for 72 residential units, currently under construction, at Sir John Rogerson’s Quay. Targeted Investment Opportunities, a fund involving Oaktree Capital, Bennett Construction and NAMA, are developing the apartments which will form part of a mixed use development comprising residential, retail & office and will be ready by the first quarter of 2020. It is anticipated the apartments comprising 15 one bed, 43 two bed and 15 three bed apartments will have a total rental value of €2.9m. The Irish Times, 22nd August
313 Cherrywood Homes William Neville & Sons have been granted planning permission by Dun Laoghaire Rathdown County Council for 313 homes in Cherrywood. Once completed, and in addition to other developments, residential houses in Cherrywood will span across 400 acres on both sides of the M50, accommodating c 30,000 people within c 8,000 residential units. The Irish Independent, 23rd August
Hickey’s Site, Parkgate Street The Irish Independent is reporting that the 1.65 acre “Hickey’s site” in Parkgate street, Dublin 8, located beside Heuston Station has sold for in excess of €30m (c€18m per acre), 50% higher than Finnegan Menton’s €20m asking price. The Irish Independent, 26th August
Foxrock, County Dublin A 0.62 acre site, previously part of the grounds at Loreto College Foxrock girls secondary school, has been sold for €3.6m (€5.8m per acre), €600k ahead of Savills €3m asking price. The site has planning permission for 20 luxury apartments which are expected to obtain sales prices of €550,000- €650,000. The Irish Independent also reports that Bowbeck DAC have applied for planning permission for 250 new residential units on a 6.42 acre site on Golf Lane, Carrickmines. The Irish Independent, 26th August
Dublin Docklands Host, a student living specialist, and part of the O’Flynn Group, has launched the first phase of their 966-bed student accommodation next to the 3 Arena in the Docklands which will be named “Tramshed”. Student prices will start at €230 per week based on a 40 week or 51 week contract which will include all bills. The final part of the scheme, a 599-bed complex named “The Woodworks” is due to be completed before year end. Host already operates in 17 cities in the UK. The Irish Independent, 25th August
Charlestown Shopping Centre The Irish Times reports that Eamon Watters, owner of Panda Waste has obtained a significant stake in Charlestown Shopping Centre through Garristown Venture Holdings. The shopping centre and connected site with planning permission for 247 apartments and retail space was sold for in excess of €42m. Bannon and Savills asking price was €35.5m. The shopping centre, with an occupancy rate of 91%, is producing an annual income of €2.8m. Tenants include Dunnes Stores, Heatons, Boots, Leisureplex, Carphone Warehouse and Lifestyle sports. The Irish Times, 22nd August
Retail Growth Colliers note that retail investment transactions have fallen from 50% of all transactions in 2016 to 28% in 2017 and only accounted for 3.3% in the first quarter of 2018. Colliers comment that most shopping centres and retail parks have changed hands in the last five years so some reduction in transactions were to be expected. Colliers further highlight that despite foreign investment demand for retail decreasing yields, there is a lack of new occupier demand to support rental growth. Online shopping is noted as a cause for this with 12.5% of Ireland’s €40bn spend now online, with 60% of this to overseas companies. Despite the decline in retail, the food and beverage sector is increasing with demand deriving from Irish companies such as Press Up Group, Avoca, Fallon & Byrne. The Irish Times, 22nd August
Cushman and Wakefield released their 2017 report on Capital Flows in Irish Property, which showed approximately €17.9bn was transacted in the Irish Property Market in 2017. This is across both Residential and Commercial and represents a 1% increase on 2016. The 2017 split between residential and commercial spend was 80:20, compared to a 66:34 split in 2016. While Dublin again accounted for the majority of the spend (€9.9bn), it was down 9% year on year with Cork (€1.6bn) showing a 32% increase on 2016 figures. Galway, Meath and Wicklow also recorded strong increases in transaction volumes in 2017. Cushman & Wakefield, 27th August
While Dublin again accounted for the majority of the spend (€9.9bn), it was down 9% year on year with Cork (€1.6bn) showing a 32% increase on 2016 figures. Galway, Meath and Wicklow also recorded strong increases in transaction volumes in 2017. Cushman & Wakefield, 27th August
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Merrion Square, Dublin: The O’Callaghan Hotel Group is seeking to develop a new office building beside its Davenport Hotel on Merrion Square. The group applied for planning permission to build a five-storey office development at the Merrion building, better known as Morrissey’s, beside the Davenport hotel. The plans include demolishing the existing building and replacing it with a new office in one of Dublin’s most sought after locations. The Irish-owned hotel group rebranded as the O’Callaghan Collection in April after spending more than €30m in the past 18 months to revamp and improve the Dublin hotels. It owns the Alex, Davenport, Mont Clare and The Stephen’s Green hotels in Dublin city centre, which have almost 400 bedrooms between them. The Times, Irish Edition, 18th August
Iput / State Street Asset Swap:Irish property fund Iput has received the green light from the State’s competition watchdog to acquire Deloitte House on Dublin’s Earlsfort Terrace in a multimillion euro asset swap with State Street Corporation. State Street will in return secure ownership of No 40 Molesworth Street from Iput as part of the deal. In approving the proposed deal, the Commission said Iput’s acquisition of Deloitte House would not substantially lessen competition in any market for goods or services in the State. State Street’s acquisition of No 40 Molesworth Street, will see it secure €1.8m (€60 psf) in annual rent from online retailer Jet.com and further rental income from Specsavers, who agreed a 15-year lease for 3,837 sq. ft. of retail space on the building’s ground floor last year. The Irish Independent, 21st August
European Office Market Report: A report on the European office market by Knight Frank shows that €148.6m is spent annually on letting space in Dublin, €65m more than Manchester, Birmingham and Edinburgh combined. In terms of the overall European office market, Dublin ranks as the ninth most valuable city for lettings annually, sitting just behind Moscow (€158.4m) and Warsaw (€150.9m), but ahead of Madrid (€138.8m), Milan (€116.8m) and Amsterdam (€99.0m). The analysis, which is included in Knight Frank’s latest quarterly Dublin Office Market Overview, reaffirms London’s status as Europe’s leading city, with some €1.1bn in office lettings recorded annually. The Irish Independent, 19th August
Eyre Square, Galway: Insurance companyFriends First has bought the mixed-use 76,500 sq. ft. Citypoint building in Eyre Square, Galway, for €22m (€288 psf). The building was completed in 2008 and is fully let producing an annual rental income of c. €1.5m (€20 psf), providing a net yield of 6.3%. The building comprises retail, office and residential tenants with TK Maxx operating from the ground floor. The Irish Times, 21st August
Hotel Market Update: Statistics from hotel market data company STR show the average cost of a hotel room outside Dublin rose by more than 8% in July compared with July 2017. The occupancy of hotel rooms outside Dublin was down 1.8% to 85.2% in July, while the average daily room rate was up 8.1% to €130.87. Revenue per available room (RevPAR), was up 6.2% to €111.45. Occupancy in the capital was also down, dropping 0.6% to 90.1%. The average daily room rate was up 5.3% to €158.45, while RevPAR was up 4.7% to €142.76. In the whole country, occupancy was down 1% to 88.1%, while the average daily room rate was up 6.7% to €147.54, and RevPAR was up 5.6% to €129.96. The volume of visitors from mainland Europe increased 5% to 3.25m last year while the number of North American tourists rose 16% to 1.7m. There has been a decline in UK visitors. The Irish Times, 20th August
Dublin Hotels Pipeline: Figures compiled by Construction Information Services (CIS) show that close to 3,000 hotel bedrooms are in the planning pipeline for Dublin city centre and its immediate environs with plans either submitted or approved for 35 hotels. A further 44 hotels comprising 3,903 bedrooms are at tender award or construction stage in Dublin city, bringing the total number of new hotels due for delivery to 79. The Irish Times, 16th August
Bray Head Hotel: The former Bray Head hotel is set to be transformed into a residential development by IDV Developments, a British property investment company. IDV has applied for permission to refurbish the landmark building as part of a proposal to build 46 apartments. The plans include a new six-storey block and incorporates a restaurant and café at ground floor level. The Times, Irish Edition, 19th August
Sandyford, Dublin: Ires Reit has sought planning permission for the development of a 14-storey apartment block at the Beacon South Quarter in Sandyford, south Dublin. Should the application be approved by Dún Laoghaire Rathdown County Council, it will see the addition of 84 apartments to the 225 units that Ireland’s biggest private landlord already owns at the scheme. An examination of Ires Reit’s latest interim results shows that 636 of the 2,908 apartments in its portfolio are distributed across the six residential developments it owns in the Sandyford Business District (SBD). The Irish Independent, 21st August
Howth Seafront Site: Property development company Marlet Property Group has spent c. €30m acquiring a prime site on the Howth seafront in Dublin. The site has two existing planning permissions, one for 229 apartments and c. 32,000 sq. ft. of commercial accommodation, and another, which is valid until March 2023, for 127 apartments, 51 houses and c. 29,000 sq. ft. of commercial space. Marlet has been very active in recent months having acquired a 3.4 acre site in Dublin 8 for c. €25m and a 16 acre site with potential for 1,500 residential units in Tallaght for c. €16m. The Sunday Business Post, 19th August
Residential Completions: According to the latest CSO figures, c. 7,900 new homes were built in the first half of 2018, a year-on-year increase of 30%. Despite the improvement, the figure is well below the estimated level of demand in the market, which is put at 30,000-35,000 annually. The latest figures show multi-unit schemes accounted for 63% of all the 4,419 new dwellings completed in the second quarter of 2018 with apartments accounting for 11% and single dwellings accounted at26%. The majority of new homes were in the Dublin and the mideast regions accounting for more than 60%. The CSO found 53,578 homes were completed between 2011 and the end of 2017, significantly below previous Government estimates of 84,500. The previous figures based on electricity connections were found to have overstated the number of new homes built in the State for several years. The Irish Times, 21st August
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Project Scariff: Ulster Bank have agreed the sale of a €1.4bn distressed loan portfolio, known as Project Scariff, to US investors, Cerberus Capital Management. The portfolio includes c. 2,300 owner-occupied home loans, as well as c. 2,900 buy-to-let mortgages secured on investment properties. More than half of the portfolio includes buy-to-lets with average arrears of c. €32,000 or 34 months of repayments. The owner-occupied loans in the portfolio are, on average, 83 months, or almost seven years in arrears and behind in their repayments by on average c. €61,000. Each loan has been through at least three forbearance procedures. Project Scariff is expected to be the last big portfolio sale undertaken by Ulster Bank, which has been restructuring its Irish assets for almost a decade, reducing its loan book by c. 60%. The Irish Times, 13th August
KBC Loan Book Sale: KBC has reduced its non-performing loan book from 36.5% to c. 25% following the sale of a portion of its bad loans to Goldman Sachs for €1.9bn. The portfolio comprised soured corporate loans and non-performing Irish and British buy-to-let mortgages. It was previously speculated that the Belgium-based KBC Group, would close down or divest its Irish subsidiary, but last year it announced that Ireland was now part of its core operations. KBC Ireland made a €115.9m net profit after tax and impairments for the first six months of 2018, compared with last year’s €173.1m with the decrease primarily because of reduced impairment provision releases. It has so far added 40,000 new customer accounts and new mortgage lending reached €422m, a 26.7% rise on last year. The Times, Irish Edition, 10th August
Miro Hotel 2, Dawson Street: Plans have been lodged for a €35m project that includes a 117-bedroom hotel and the redevelopment of one of Dublin’s oldest private members’ clubs on Dawson Street. Miro Hotel 2, which owns the Dawson Hotel, has launched plans with Dublin City Council, to develop the Dawson Hotel and adjoining site which is owned by the Royal Irish Automobile Club (RIAC). The automobile club, established in 1901, has two restaurants, a bar and a members’ reading room and library. It is envisaged that the club would vacate the premises by the end of June next year and that the works would be completed within two years. The new facilities would include a restaurant, bar, reading room, meeting rooms, offices for the club, Motorsport Ireland and the Guinness Seagrave Library. The Times, Irish Edition, 14th August
George’s Street Hotel, Dublin: Dublin City Council has approved plans by Grosam Properties for a 100-bedroom hotel on the site of the former Dockrells hardware store at the junction of South Great George’s Street and Aungier Street in the city centre. The development which will consist of five-storey over basement will retain its current façade and include a restaurant and three retail units. The site has lay vacant since late 2015. The Irish Independent, 12th August
Glenveagh Properties: Glenveagh Properties, one of Ireland’s largest housebuilders, has finalised plans to raise more than €200m. The company said that it had closed its offer for a share placing that will raise €213m (€205m after commission, fees and expenses). One third of shares have been allocated to qualifying existing shareholders and the transaction is conditional upon approval from Glenveagh’s shareholder base at an EGM. Glenveagh has previously indicated that the money will be used to take advantage of land-buying opportunities. The company has been one of the most active housing firms since raising €550m through an initial public offering last year. It has a portfolio of 42 sites with the potential for more than 10,000 housing units and it has 700 homes under construction. The Times, Irish Edition, 11th August
Development Land: A new study from Cushman & Wakefield, found that €375m worth of land was bought and sold in the first six months of the year across the greater Dublin area, Cork, Galway and Limerick. This was up by 59% compared to the same period in 2017. The surge was mainly driven by activity in the capital and its neighbouring counties of Kildare, Meath and Wicklow. Deals in this area accounted for 91% of the deals by value. Dublin accounted for the majority, with land worth €321m sold in the county during the first six months of the year. Outside of the capital, Cork is the most active market, with 30 sites worth a combined total of €30m changing hands during the first half of the year, a 25% increase in both volume and value terms year-on-year. The Times, Irish Edition, 10th August
Residential Market Update: According to latest figures from the Central Statistics Office, property price growth eased in June, with house prices advancing by 12%, down from 12.4% in May and 13.3% in April. In Dublin, prices rose by 9% in the year to end-June, with house prices lagging this increase, advancing by 8.4%, while apartment prices soared by 12.8%. Dublin city saw the greatest increases, at 12%, but in south Dublin, house price growth continues to taper, and it rose by just 5.9% over the same period. Across the country and excluding Dublin, prices were up by 15.2%, with house prices rising by 14.6%, and apartments by 20.3%. Prices in the mid-west advanced by a hefty 22.3%, but in the border region, house price growth has stalled, with an increase of 4.9% reported. The latest figures mean that house prices nationally are now 19.5% lower than their peak in 2007, while in Dublin, prices are 22.2% lower than their February 2007 peak. Across the rest of the country, prices are 24.2% off their May 2007 peak. From the trough in early 2013, figures from the CSO show that prices nationally have increased by 79.6%, with Dublin prices almost doubling, up by 92.7% from their February 2012 lows. Across the rest of the country, prices are now almost 75% higher than the low reached in May 2013. The Irish Times, 14th August
Cork Office Market: The latest Cushman & Wakefield Cork office leasing market recorded a very strong opening half to 2018. Following a positive first quarter, the Cork office leasing market activity gathered pace in the second quarter with 26 occupiers taking up space, amounting to c. 281,000 sq. ft. A large portion of this was made up of Apple’s occupation of its own 170,000 sq. ft. expansion in Hollyhill. This has brought take up in the year to date to c. 382,000 sq. ft., compared to just 88,000 sq. ft. recorded in H1 2017. The past twelve months have seen supply levels in Cork decline by 4.3%, to stand at c. 600,000 sq. ft. at the end of June, resulting in the vacancy rate falling to single digits for the first time in a decade, to 9.5%, from 10.2% at the mid-point of 2017. When signed and reserved space is excluded, the net vacancy rate falls to c. 6.7%. As a result of pre-let deals closing in Q2 2018, 87% of the space currently under construction in Cork is now precommitted. Cushman & Wakefield Market Report, 14th August
Belfast Office Market: Lisney, who recently handled the £15m sale of the Obel 68 office block in Belfast, have reported growing interest in the office rental market in the city, with the total rental take-up in the first quarter of 2018 increasing to 270,000 sq. ft. Prime office rents have also moved from c. £12.50 psf. to c. £21.50 in recent years and there are a number of office schemes planned where quoting rents will be upwards of £23 psf. Additionally, investment volumes have increased from £26m in the first half of 2017 to c. £70m in the first half of 2018.The Irish Times, 13th August
Dublin Industrial Market: A Knight Frank industrial market report has found there was c. 471,000 sq. ft. of industrial property transacted in Dublin in Q2, a 37% decrease in comparison to the same quarter in 2017. In total take up for the first six months of the year was c. 1.2m sq. ft. Demand for space was highest in Dublin South-West with the area accounting for 51% of take-up, followed by Dublin North-West with 43%. A number of new builds were delivered to the market in Q2 including at Horizon Logistics Park and Dublin Airport Logistics Park. While prime rents remain unchanged at c. €9.30 psf, secondary rents now stand at c. €5.50 – €6.50 psf. Prime industrial yields are unchanged at 5.25%. Knight Frank Market Report, 8th August
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Project Glas: Permanent TSB has reduced its non-performing loans by 9% to c. 16% of its total loan book following the sale of Project Glas to Lone Star Funds for €1.3bn. Project Glas, which has a par value of c. €2.1bn, comprises loans linked to about 10,700 properties with an average value of c. €175k. PTSB originally proposed to include loans with a balance sheet value of €3.7bn in Project Glas but, after a political backlash, it abandoned the sale of 4,300 residential restructured mortgages. The loan book will be managed by Start Mortgages, a subsidiary of Lone Star. The Times, Irish Edition, 1st August
Hilton Hotel, Dublin Airport: Canadian hospitality group Westmont has completed the purchase of the Hilton Hotel at Dublin Airport for c. €22.5m (€135k per key). The Westmont Group is one of the largest franchisees and co-owners of IHG and Hilton Hotels worldwide and this acquisition marks their first venture into the Irish market. The four-star hotel includes 166-bedrooms, a bar and restaurant, a business centre, a fitness centre and large car park. The Sunday Business Post, 5th August
Fitzwilliam Hotel, Dublin: Dublin City Council has granted planning permission for 50 additional bedrooms on the upper floors ofthe five-star Fitzwilliam Hotel on St. Stephen’s Green. Owner Michael Holland plans to invest c. €20m in total on the expansion of the luxury hotel and also in The Fitzwilliam Hotel in Belfast. Construction work is expected to commence at the end of 2018. The Sunday Independent, 5th August
Smithfield, Dublin: Agent CBRE has brought a fully-occupied mixed-use property at the heart of Smithfield in Dublin city centre to the market guiding €4.75m (€283 psf). The building comprises of two storeys above ground with a double basement underneath extending to 16,757 sq. ft. in total and is currently producing a rent of €327,240 p.a. (€19.50 psf) from two tenants on long-term leases. Based on its €4.75m guide price, the property offers the prospective purchaser a net initial yield of 6.35% with long-term income of over 14 years. The Irish Independent, 2nd August
Dublin Office Market Update Q2 2018: Lisney has reported that 896,000 sq. ft. of office space was taken up in Dublin in Q2, marginally lower than the previous quarter (-3%) and 22% lower YoY. The city centre region was the most active, accounting for 85% of the activity, while the south (10%), west (4.6%) and north (0.4%) suburban regions made up the remainder. US businesses dominated and were involved in 56% of all space transacted while the IT sector was again the most active sector, accounting for 38% of all space transacted (335,000 sq. ft. spread across 14 deals). The largest tech deals were at Boland’s Quay, where Google purchased two buildings in May. These are currently under construction and extend to 108,000 sq. ft. and 91,000 sq. ft. respectively. The headline vacancy rate across Dublin remained below 10% at the end of June. Lisney Press Publication, 2nd August
Grand Canal Quay, Dublin: Google has moved to increase its footprint in Dublin’s Docklands after entering into a long-term agreement with businessman Denis O’Brien to rent six floors at his office block at Grand Canal Quay. Google is also close to completing the purchase of the Treasury Building on nearby Grand Canal Street for a figure in excess of €115m. The two transactions come just over two months on from Google’s completion of a €300m deal to acquire the entire Boland’s Quay scheme. The Sunday Independent, 5th August
Griffith Avenue, Dublin: Cairn Homes is advancing plans for c. 350 apartments on a prime 7.5 acre site at Griffith Avenue in north Dublin, after consultations with An Bord Pleanála received positive feedback last week.The company is expected to shortly lodge detailed plans for the development, using the Strategic Housing Development Planning scheme. The Times, Irish Edition, 5th August
Dublin Commercial Property Market: A report released by the National Treasury Management Agency (NTMA) has raised concerns that the impact on tech multinationals on the Dublin commercial property market significantly outweighs that in other European and international capitals. The report found that the top five tech companies accounted for a much higher footprint in Dublin (4.9%) than in London (1.1%) or New York (0.7%). According to the report, Google, Microsoft, Amazon and Facebook accounted for six of the top ten office deals in 2017, and this looks set to continue in 2018. The figures in the report suggest a potentially harmful reliance on one sector of the economy, and the impact an adverse performance in that sector might have on another sector, in this instance, commercial property. The Sunday Business Post, 5th August
Construction Costs Report: New figures released from the Soceity of Chartered Surveyors Ireland (SCSI) show that construction costs will surpass 2006 levels this year and are rapidly approaching the highest levels of the Celtic Tiger bubble. Higher wages, plus steel and timber costs are driving up the price contractors are seeking to pitch for projects, the SCSI found. The SCSI Tender Price Index tracks the bid levels when construction firms pitch for contracts and the latest quarterly update today shows that prices increased by 3.95% in the first half of 2018. The forecasted annual increase for 2018 will be 7.4%. The index shows prices in the first half of 2018 rising fastest in Dublin and the rest of Leinster, but increases were common across all of the regions. The Irish Independent, 7th August
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