Glass Bottle Site Nama has confirmed that Ronan Group Real Estate (RGRE) and US investment firm Oaktree have completed the purchase of an 80% stake in the former Irish Glass Bottle site and an adjoining plot in Dublin. RGRE and another US investment company, Colony, were selected by Nama in late July as preferred bidders for a controlling stake in the 37-acre site and given 30 days to complete. It is the largest vacant plot in the capital and is earmarked to deliver more than 3,500 homes. The Irish Times, 22nd December
Blackrock, South Dublin Seabren Developments is planning to build 101 apartments at the former Europa Motors site in Blackrock, south Dublin. Seabren purchased the land from Marlet group this year for a reported €7.5m. According to planning documents, the proposed development will feature two apartment blocks of up to six storeys, with space for 73 cars and 194 bicycles at basement level. It will provide c.12,500 sq.ft. of communal open space and 3,250 sq.ft. of public open space. The Sunday Times, 20th December
According to Goodbody Stockbrokers, housing transactions in Ireland continued to recover in October 2020 with prices rising by 0.6% month-on-month, the largest monthly gain since July 2019. On an annual basis, prices were effectively flat (-0.4% yoy). Indeed, residential prices in Ireland have flatlined since Q3 2018. There is no great difference in house price inflation in Dublin (-1.5% yoy) and outside Dublin (0.4% yoy) at this point. Contrary to their initial expectations at the onset of the pandemic, there has been no noticeable impact on pricing dynamics, mirroring trends seen elsewhere. Goodbody Irish Housing Report, 2020
Glenveagh, the Dublin listed housebuilder, confirmed that it was investing €500 million on building 3,000 homes on six new sites in Cork, Dublin city and county, Kildare and Kilkenny. The company announced that the new site building would also lead to the creation of 1,000 new jobs. The Irish Times, 17th December
Cork City Orchard Road and Grove Planning & Environmental Protection Group has brought a challenge over An Bord Pleanála’s permission for a 216-bed student accommodation development in Cork city. The association representing residents oppose the demolition of an existing structure and construction of the student housing development, consisting of 30 apartments, at Orchard Road in Cork. The proposed five-storey block is located near the main campus of University College Cork. The association claims the board’s decision is flawed and breached fair procedures. The Irish Times, 17th December
Dublin 2 Plans for a new hotel development for Dublin city centre at the Dublin venues Rí-Rá nightclub and the Globe bar have been put on hold. Three separate appeals have been lodged with An Bord Pleanála against Dublin City Council giving the green light for the plans for a major expansion of the Central Hotel on South Great George’s Street and Dame Court into a new 71,623 sq.ft. five-storey hotel with 125 bedrooms. Rí-Rá nightclub would have become a “speak-easy” with the Globe a retail outlet. As part of the application by Exchequer Developments Ltd, the existing Library Bar is going to be reduced in size to make way for additional bedrooms. A decision is due on the appeal in April. The Irish Times, 17th December
Dublin 2 The O’Callaghan Hotel Group are looking to acquire St Andrew’s Court, a block of 14 dilapidated flats for senior citizens at the corner of Fenian Street and Sandwith Street, close to two of its city-centre hotels. In exchange, the company will transfer to the council ownership of 28 apartments and a ground-floor retail premises it plans to start building in the New Year. The completed social housing development would be delivered by August 2022 which would be far in advance of any new development by DCC on the St Andrew’s Court site and at no cost to the State. The proposal will be put to city councillors this week. The Irish Times, 22nd December
2020 Office Market According to Marie Hunt of CBRE, 2020 started out with a healthy carryover of activity from 2019, and expectations were for an equally-buoyant year of office leasing activity in Dublin and in regional cities. However, the onset of Covid-19 had an immediate impact on the office sector from mid-March onwards. Transactional activity effectively halted during this initial lockdown, with Q2 being the worst quarter on record for the Dublin office market in terms of take-up. Supported, in the main, by activity driven by lease events, total take-up in the Dublin market reached c.1.4 million sq.ft. in the first nine months of 2020. There is currently c.323,000 sq.ft. reserved but even if all of this stock signs by year-end, annual office take-up in the capital will be considerably lower than in recent years. The overall rate of vacancy stood at 8.64% at the end of September and is expected to increase further in Q4. The Irish Times, 16th December
Cork Airport Business Park Yew Grove Reit has agreed the letting of 20,268 sq.ft. (the first floor) of unit 2600 at Cork Airport Business Park to Alter Domus Fund Services Ireland, along with 79 car parking spaces. The lease term is 15 years with break options at five and 10 years at a headline rate of €16.50 per sq. ft. plus a licence for 79 additional car spaces at a rent of €200 per car space per annum. The Irish Independent, 16th December
Kevin Street, Dublin 2 Dublin City Council has given the green light to a €475 million plan to construct a mixed-use scheme for the redevelopment of DIT’s former Kevin Street Campus in Dublin 2. Last May, Westridge Real Estate lodged plans for the development of c.572,000 sq.ft. of office accommodation in two 11-storey blocks, and 299 build-to-rent apartments across three buildings of up to 14 storeys in height. Westridge acquired the 3.57 acre site for €140 million in August 2019 (€39.2m per acre). Planning was granted after the developers reduced the scale of the proposal where the quantum of office space has been reduced to c.538,000 sq.ft. in response to local authority concerns. The council has ordered that the developers pay €3.9 million in planning contributions towards public infrastructure, and an additional €1.5 million in respect of the Luas Cross City Scheme. The Irish Times, 21st December
Yew Grove Reit has sold €2.4 million of ‘non-core’ properties. The company sold a vacant industrial unit in Stillorgan for €1.46m last month. The sale price was 11% ahead of the June 30 independent valuation. The company also sold units at Centrepoint Business Park, Clondalkin, county Dublin, for €950,000, which completed earlier this month. Irish Independent, 16th December
Dundrum Town Centre owner Hammerson is to seek admission to the Irish Stock Exchange ahead of the UK’s exit from the European Union at the end of the month. In a statement, Dundrum Town Centre owner Hammerson said it was seeking admission of its entire issued ordinary share capital to the secondary listing segment of the official list of the stock exchange, which trades as Euronext Dublin. The secondary listing on Euronext Dublin will enable Hammerson to maintain an efficient holding structure across its portfolio and guarantee an EU equivalent trading venue for Hammerson’s shares. Along with Dundrum, the property giant owns stakes in the Swords Pavilions and Ilac shopping centres in Dublin, where it also plans a major redevelopment of the area around Moore Street. The Irish Times, 18th December
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South Circular Rd, Dublin 8 Hines and APG have submitted a fast-track planning application to An Bord Pleanála for Phase 2 of their Player Wills development on South Circular Road, Dublin 8. The development will include 732 new residential units, two new parks and an artistic centre. A key aspect of phase two will be the retention and transformation of the iconic former Player Wills factory as a new mixed-use space. It will accommodate 287 new residential units, of which 240 will be new shared living industrial-style loft units with dedicated tenant amenities, including c.11,000 sq.ft. of living space. The shared living units will be different from co-living units in two respects: while they are single-occupancy units, they will extend to an average of c.258 sq.ft. each, compared to the minimum of c.129 sq.ft. for co-living. The Business Post, 13th December
Phibsborough, Dublin 7 MM Capital has submitted an amendment to its planning application for the redevelopment of Phibsborough shopping centre in Dublin 7. Instead of the 334-bed student accommodation section, there will be a 321-bedroom shared living component extending to over 129,000 sq.ft. It will also accommodate over 21,500 sq.ft. of communal/shared amenity space. These amenities will include a gym, lounges, wellness spas, a café and co-working space. The centre piece of the redevelopment is a new public plaza which will become the village centre of Phibsborough. It will also connect into Dalymount Park once that is redeveloped. The Business Post, 13th December
The Business Post understands that Hines King Street has filed High Court proceedings against Dún Laoghaire-Rathdown County Council over a dispute related to the funding of €57 million worth of public infrastructure. Hines, the property developer, and King Street Capital, the private equity fund, are the partnership behind the Cherrywood strategic development zone (SDZ) project in Dublin. The Business Post understands that Hines King Street initiated the proceedings after the council did not adhere to the terms of a pre-agreed development contribution scheme which was adopted by the local authority in June 2017. Under the arrangement, Hines King Street would be entitled to offset the cost of constructing common infrastructure against future development contributions. The €57 million investment in the Cherrywood area by Hines King Street has created 5.5 kilometres of new roads, pathways and cycle ways. Three new parks have also been created in the SDZ. The Business Post, 13th December
EY benchmark analysis based on the STR data for 10 different European countries has found that hotel occupancy rates in Dublin were 56% lower than region hotel occupancy rates during the last week of July and second week of September 2020. This trend is also witnessed in Europe, as occupancy rates in main capital cities are on average 41% lower than their regional counterparts.
Irish regional hotels have performed relatively well during the summer period analysed with a 54% occupancy rate, outperforming their European counterparts. Dublin hotels have underperformed with a 24% occupancy rate compared with 38% in Berlin.
Ireland’s relative urban tourism weakness is a result of three main factors. As a small island economy, the levels of business tourism are very high, especially into Dublin where a significant proportion of Ireland’s most successful businesses are located. Irish residents with a higher purchasing power are located in Dublin and would be the ones driving the domestic tourism market. They decided to leave Dublin to work remotely or holiday. Lastly, overseas visitors were driven away by the quarantine measures introduced. EY: What now for city tourism? December 2020
Cork City Ibec are to set up a ‘Munster hub’ in Cork’s Penrose Dock office development. Ibec confirmed they will lease 5,000 sq.ft. at Penrose Dock 1, aiming to take occupation in the second quarter of 2021. The announcement brings the occupancy level of the 250,000 sq.ft. quayside scheme to 80%. Ibec joins the likes of Varonis, Minelab, Remitly, Qualcomm, Sophos, Cloudera, Grant Thornton, Matheson and Flexispace, at the Wilson Architecture-designed Penrose Dock 1 and 2 buildings on 1.7 acres. The Irish Examiner, 10th December
Clontarf, Dublin 3 A private Irish investor has purchased 18 apartments at Tudor House and Beechfield House in Clontarf, Dublin 3 for €4.5 million (€250k per unit). The Tudor House and Beechfield House development is located on Oulton Road just off Clontarf Road. Two of the apartments were sold when the scheme was completed by its developer and vendor in 2005. Consequently, the investment comprises nine apartments within the redeveloped period buildings and nine apartments within the modern block. The portfolio consists of nine one-bedroom apartments and nine two-bedroom apartments. The investment is currently generating a gross annual rental income of c.€243,000, this is expected to increase to €267,000 per annum once the vacant show unit is re-let at its estimated rental value of €2,000 per calendar month. The Irish Times, 9th December
Phoenix Park, Dublin 15 Ires Reit is to acquire 146 apartments at the Phoenix Park Racecourse in Dublin 15 for €60 million (c.€411k per unit). The deal includes a mix of apartments, duplex units and houses, including 20 one bed and 113 two bed units. Most of the residential units were built in 2002-2007, with 26 constructed this year in a block overlooking the Phoenix Park. At present, some 137 of the residential units are currently rented, with nine residential units available for immediate rent. Rents at two-bed units in the development are currently on the market for c.€1,850 – €2,025 per month. The Irish Times, 14th December
Social Housing UK insurance company Legal & General has teamed up with housing agency Clúid to invest €54 million in social housing projects in the Republic. The deal, which will deliver c.200 social homes, marks the first large-scale investment in social housing here by a big international player and the first time an approved housing body (AHB) has secured financing on this scale from a private entity. Delivery of the new homes financed through the agreement is expected to begin in the first quarter of next year, and most are expected to be located in the high-demand urban centres of Dublin and Cork. The Irish Times, 14th December
Blackrock, South Dublin Lioncor, a joint venture between Alanis Capital and US private equity company Oaktree, has paid c.€16 million for a prime residential holding immediately adjoining Blackrock College in Dublin. The Cross Avenue site (3 acres) also includes two residential properties, Tower Green and Clareville, with extensive frontage (158m) on to Cross Avenue, close to its junction with Mount Merrion Avenue. The property is located 7.5km southeast of Dublin city centre. The lands were put up for sale in May 2019 by agent Avison Young (formerly GVA Donal O’Buachalla) at a guide price of €20 million. The Irish Times, 9th December
Residential Planning Permission Planning permissions for houses and apartments jumped 22% in the third quarter as the construction industry rebounded from the first Covid-19 lockdown. Central Statistics Office (CSO) figures show the number of planning permissions granted for dwelling units between July and September was 12,942, of which 7,214 were apartments and 5,728 were houses. This represented an annual increase of 22.2%. The number of apartment units granted planning (7,214) was up 27.5%. The Irish Times, 11th December
Housing Supply According to an analysis of the housing market conducted by the Banking and Payments Federation Ireland (BPFI), housing supply is unlikely to meet demand until at least the end of 2023. The Federation concludes the number of completions will exceed 19,000 units for the year in comparison to c.21,000 in 2019. The Federation estimate that 35,000 new units would need to be constructed per annum to keep up with demand and that this will not be achieved until 2023. The Irish Times, 8th December
Swords Central Shopping Centre The Irish Times understands that a fund managed by Davy Real Estate has purchased the Swords Central Shopping Centre in Dublin for c.€11 million. The purchase price represents a significant discount on the €21.5 million guide price when it was initially brought to the market in September 2018. The scheme produces a rental income of €1.3 million from 12 shops, with 30,000 sq.ft. of retail accommodation and a 320-space car park producing an average annual income of €280,000. The Irish Times, 9th December
Retail Sector It is projected that the year-end investment turnover figures for retail will represent a record low 2.5% of an anticipated total investment market turnover of €3 billion. This from a sector that represented 24% of investment turnover for the last decade (to 2019), but descending rapidly from a high of 53% in 2016 to a previous record low in 2019 of 9%. Unsurprisingly for 2020 High Street retail has been worst affected with Grafton Street experiencing a 66% reduction in footfall for March to October. While the street’s footfall figures had been holding steady at 25 million for the last two years, the 2020 outcome will be closer to 13 million. 65% of the limited 2020 retail investment transactions were grocery deals. The Irish Times, 13th December
The industrial and logistics sector has seen a change in attitude from the investment community over the last few years with the influx of international private equity companies competing for much of the available industrial and logistics stock in Dublin, both vacant and tenanted. This competition has intensified in recent months, and looks set to continue with trends such as accelerated e-commerce uptake and population growth providing investors with confidence in the long-term future of the sector. Take-up in Dublin in 2020 is unlikely to reach the 3.5m sq.ft. achieved in 2019, but this will be as a result of supply levels being unable to meet the demand in the market. There are currently just five modern, warehouse units of 20,000 sq.ft. or greater for sale or to let and available for immediate occupation in the entire Dublin market. The Irish Times, 15th December
BidX1 Auction A Ballsbridge apartment building was the top seller at the BidX1 auction on December 9th, through which over 100 properties generated more than €20 million in sales. The end-of-terrace apartment building, Embassy Lodge, Prince of Wales Terrace, Ballsbridge, Dublin 4, sold for €1,449,000 or €349,000 over its €1.1 million guide price. Located off Sandymount Avenue, it is within walking distance of Ballsbridge, Sandymount Village and Sandymount Dart station. It comprises two two-bedroom apartments and two one-bedroom apartments which range in size from c.430 sq.ft. to 678 sq.ft. Only one of them, a one-bedroom apartment, is occupied and this 678 sq.ft. unit has a current annual rent reserved of €15,744. A 3.2-acre residential development site in Rush, North Dublin sold prior to auction. It had been guiding €1.75 million. Situated on Brook Lane, Hayestown, Rush, it is zoned residential and comes with planning permission for 40 residential houses. The Business Post, 13th December
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18/19 College Green, Dublin 2 Having been acquired by the Mac Group for €4.65m in 2018, the property has returned to the market at a guide price of €5.2m with TWM. The price now being sought reflects a capital value of €515 per sq. ft. based on its net internal area of 10,097sq ft.
Tesco Ireland is the tenant on the ground floor and basement on a 25-year lease from 2013 with tenant break options in 2023 and 2028. The passing rent is €62,426 per annum with five yearly CPI linked rent reviews. The rest of the building is vacant, and a feasibility study done by RKD Architects suggests that the five upper floors could be extended, and a floor could be added, all subject to planning permission. The Irish Times 2nd December
Aldi Store, Rathnew, County Wicklow Ardale Property Group has sold the Aldi store in Rathnew for c€4.82m. The building, on a 0.81-acre site, is 17,308 sq. ft. and has 75 surface car parking spaces. The Aldi lease is 25-year FRI with a tenant break option in year 15. The passing rent is approximately €348,000 and is subject to five yearly CPI linked rent reviews. The purchase price represents a net initial yield of 6.56% and a capital value of €279 per sq. ft. Ardale has planning permission for 40 residential units on the next phase of this scheme and planning for 255 residential units on an adjacent site. Overall, more than 700 residential units will be built on the company’s landholding in the area. The Irish Times, 2nd December
Blanchardstown Shopping Centre The Sunday Times reports that Blackstone Real Estate is facing losses of €211m as Goldman Sachs, the largest holder of the mezzanine debt, takes control of Blanche Holdco SARL, the owner of the shopping centre. The senior lenders are AIB, Morgan Stanley and AIG. The centre was purchased by Blackstone for in excess of €1bn at an LTV of 78%. Blackstone has declined to inject additional capital into Blanche to cure LTV covenants breaches and has ‘handed back the keys’. The Sunday Times, 6th December
76 Sir John Rogerson’s Quay Rabobank has agreed to let 23,500 sq. ft. on the sixth, seventh and eighth floors of the building at a rent of €57 per sq. ft. on a ten-year lease with an option to renew for a further ten years. The entire property, developed by Targeted Investment Opportunities, an umbrella fund involving NAMA, Oaktree Capital and Bennett Construction, consists of two buildings and comprises 75,498 sq. ft. The Irish Times 2nd December
Residential Mortgage Approvals Mortgage approvals for house purchases rose to a record high in October, as the Irish housing market continued its impressive rebound from the lockdown period with growth of 20% yoy (+27% yoy in September), with the number of First Time Buyer approvals up 31% yoy in October. Approvals for movers increased by a more subdued 4% yoy in October, while Buy-to-Let approvals continue to be anaemic (-23% yoy). In all cases, the average loan size grew, leading to a 26% yoy increase in the value of approvals for houses in October.
The Central Bank noted last week that the banks initially reacted to the COVID-19 shock by restricting access to exemptions from the loan-to-value and loan-to-income limits. Given the more resilient performance of the market in recent months, it is likely that banks have loosened up on this aspect, thus contributing to the rebound in September and October. Goodbody Stockbrokers, 7th December
Buoyant Year for €1m Plus Houses The Irish Times notes that agents are reporting that there has been a surge in demand for €1m plus houses with demand coming from a mixture of local and expats returning from the UK and to some extent the USA. While the top five Dublin sales this year range between €3.5m and €6.2m, those sales compare somewhat conservatively with recent years, when the range has been closer to between €5m and €10m. The new trend is the volume of €1m-plus sales going through and completing in record time, at or just above the asking price. The Irish Times, 3rd December
Milltown, Dublin 14 The Irish Times reports that Winterbrook has purchased the 3.95-acre Mount St. Mary site in Milltown from the Marist Fathers for c€20m. Funding for the acquisition and development of the site is being provided by Winterbrook’s shareholder, BGF (€4m), and Activate Capital (€35m). Winterbrook has appointed Reddy Architecture + Urbanism to develop plans for a high density apartment scheme with supporting facilities. The Irish Times, 2nd December
Ashtown, Dublin 15 Ruirside Developments has been granted a strategic planning application by An Bord Pleanála for a €159m apartment scheme. The development, which is located on Rathborne Avenue, Ashtown, Dublin 15, will include 725 dwellings, 107 of which will be studio units, 226 will be one-bed units, 376 two-bedroom units and 16 three-bedroom units. The development will also include a licensed discount food store spanning about 2,549 square metres gross, a café/restaurant unit of about 199 square metres, and a creche facility of some 724 square metres. The Business Post, 6th December
Rathcoole, County Dublin. Romeville Developments has been granted a strategic planning application by An Bord Pleanála for a €44.8m housing scheme on a site located to the east of Stoney Hill Road in Rathcoole, Co Dublin. The works include the demolition of five existing residential properties and associated outbuildings and will consist of the construction of a residential development of 204 units, comprising 151 houses (including duplexes) and 53 apartments. The Business Post, 6th December
Milltown, Dublin 14 Rohan Holdings, known for developing office and industrial space, looks set to enter the PRS market via the proposed acquisition of a prime residential site, the former Murphy & Gunn BMW site in Milltown plus the adjoining school building owned by the Jesuit Order. The reported price is approximately €7m which is 8% above the €6.5m quoted by joint agents Knight Frank and Avison Young. The site has 43 metres of road frontage on Milltown Road and is zoned Z1 Residential under the Dublin City Development Plan 2016-2022. According to a feasibility study prepared by Reddy Architecture, the site can accommodate 67 apartments over a basement carpark, subject to planning permission. The Irish Times, 2nd December
Ashbourne, Co. Meath A 241 acre farm in Ashbourne , Co. Meath sold for €7m, nearly €30,000 per acre, through Coonan Property. Located to the south of the town, it straddles the M2 Slane to Dublin Road. While it is farmland, it is considered to have good prospects of being rezoned for residential development with as much as 2km of its borders running alongside existing residential developments. Adjacent lands have also been included in a local authority draft development plan which will facilitate further residential development. Last December, investors bought a nearby farm with long-term development prospects near Ashbourne, for around double agricultural land prices. The Irish Independent, 3rd December
Navan, County Meath Smith Harrington is offering 32.42 acres of development land to the market in Navan, Co. Meath. Located in close proximity to the M3 motorway and the N2, and just 2km from Johnstown and 5km from Navan town centre. The site is zoned E1/E2; Strategic Employment Zone (High Technology Uses & General Enterprise and Employment). Included in the 32.42 acre sale is five acres of good-quality agricultural land and a small section of approximately 0.42 acres zoned F1 Open Space. The land is being offered in one or more lots with guide prices available on request. The Irish Times, 2nd December
Castletroy, County Limerick Lioncor Developments has been granted planning permission for a €44m residential development in Newcastle, Castletroy, Co Limerick. The Strategic Housing Development allows for the construction of 200 residential units comprising 85 houses, 34 duplex units and 81 apartments. The Business Post, 6th December
Unit 21 Fonthill Business Park. Clondalkin, Dublin 22 The Irish Times reports that industrial specialist, Harvey, is offering the property by way of sublet or lease assignment as the current tenant, Healthcare 21, is relocating to another property. The property consists of 86,252 sq. ft of warehouse and office space. The existing lease expires in in June 2023 and the current passing rent is €650,000 per annum (€7.54 per sq. ft.) with fixed uplifts to €675,000 and €700,000 in June 2021 and June 2022 respectively. The Irish Times, 2nd December
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Dublin 3 Lisney is guiding €8.95 million for a fully let office block at Dublin’s East Point Business Park. Block G is a three-storey building extending to 26,510 sq.ft. (€338 psf) with a parking provision of 49 surface car parking spaces. The building is 100% occupied and let on a floor-by-floor basis to two tenants: gaming company Activision Blizzard and polling firm Red C. The two tenancies are set to deliver a contracted rental income from May 2021 of €590,352 per annum. Block G’s 0.75-acre plot could potentially accommodate a refurbishment or development that would more than double the size of the existing property to 60,000 sq.ft, subject to planning permission. The Irish Times, 25th November
If you are interested in purchasing this asset and require financing, please contact Origin Capital as we can arrange senior debt facilities of up to €6m for the purchase of this Asset.
The Sunday Times understands that Oaktree Capital Management is believed to be one of a small number of parties negotiating with Colony to take over its interests in two Ronan Group Real Estate (RGRE) developments. RGRE and Colony hired Eastdil Secured in July to market a majority stake in the Fibonacci Square and Salesforce Tower developments. Since then, Oaktree replaced Colony as the main funder of RGRE’s bid to acquire an 80% stake in the development of the former Irish Glass Bottle site in Dublin. Colony is also seeking a buyer for properties in its extensive Dublin investment portfolio, including its 75% stake in Burlington Plaza and a 72% stake in the Three Ireland headquarters on Sir John Rogerson’s Quay. The properties were acquired through Nama’s sale of the Project Tolka loan portfolio. The Sunday Times, 29th November
Dalkey, South Dublin Irish Life’s Irish Residential Property Fund has acquired 94 luxury apartments that are being developed in Dalkey, south Dublin. The Irish Times understands Irish Life has agreed to pay c.€49 million (€521k per unit) to secure ownership of the Harbour Road scheme in advance of its scheduled completion in the second half of 2022. The development will comprise a mix of one-, two- and three-bedroom apartments distributed across two blocks overlooking Dalkey Island. The Irish Times, 26th November
Stillorgan, South Dublin Ires Reit is engaged in exclusive talks to acquire a portfolio of 25 high-end apartments in Stillorgan, south Dublin for c.€10.6 million (€424k per unit). Ires Reit’s expected purchase of the Atrium apartments will bring its overall holding at Beechwood Court to 126 units. The Atrium portfolio comprises 24 two-bedroom units and one three-bedroom unit, along with 25 car-parking spaces at basement level. Eight of the apartments have been held vacant while the remaining 17 units are being sold with the existing tenants in place. The Irish Times, 25th November
Malahide, North Dublin Lisney is offering a 3.68 acre site for sale with full planning permission for the development of 13 detached houses ranging in size from 3,616 sq.ft. to 4,510 sq.ft. arranged within a private cul-de-sac setting. The site is located within a short distance of the grounds of Malahide Castle on the eastern side of the Dublin Road, on the approach to Malahide village. The Irish Times, 25th November
Marino, Dublin 3 The Irish Times understands that Greystar has made an unsolicited offer of c.€180 million for the Griffith Wood portfolio where Cairn Homes is developing 385 homes on a site at Griffith Avenue in Marino, Dublin 3 (€468k per unit). The scheme, which is currently under construction, is set to comprise 377 apartments and eight houses. The apartments will be distributed across seven blocks ranging in height from four to eight storeys, and will be complemented by the provision of 367 car parking spaces, 682 bicycle parking spaces, as well as a creche and a gym for residents. The Irish Times, 25th November
Old Naas Rd, Dublin 12 An Bord Pleanála has given the green light for a mixed-use development which will include as many as 1,102 apartments on the Naas Road in Dublin. In total it will comprise nine buildings ranging in height from seven storeys to an 18-storey building that will accommodate offices on a site at the Royal Liver Assurance Retail Park on the Old Naas Road, Dublin 12. The mixed-use development will also include offices, a crèche, community centre, retail, gyms, cinema facility, café, bar, restaurant, medical centre and pharmacy uses with a total gross floor area of more than 1.39 million sq.ft. The development will also include a plaza area. The Irish Independent, 26th November
BidX1 Auction Three Dublin city multi-unit residential lots with guide prices exceeding €1 million are among the commercial development and residential properties which BidX1 will auction on December 9. One of the properties is Embassy Lodge in Ballsbridge, Dublin 4, which has four apartments and a €1.1 million guide price. Located off Sandymount Avenue, it comprises two two-bedroom apartments and two one-bedroom apartments, the units range in size from 430 to 678 sq.ft. Only one of them, a one-bedroom apartment, is occupied and this 430 sq.ft. unit has a current annual rent reserved of €15,744 (€36.61 psf). The Business Post, 29th November
Social Housing Tuath, a housing charity with more than 5,500 units, has bought the Plaza building in Park West Business Park in Dublin 12 from Harcourt Developments. It has begun work on transforming the building, which has been vacant for several years, into 84 two-bedroom apartments, which will be provided to social housing tenants. Tuath is also converting a 1960s office block at Springville House in Blackrock, Cork, into a development of 35 homes within the fabric of the existing building. The Sunday Times, 29th November
Castleknock, Dublin 15 A decision by Fingal County Council to reject plans for an extensive development in Dublin that would have included the country’s tallest building has been appealed by the company behind the proposed scheme. The project would include a 459-bedroom hotel in a 28-storey block at junction 6 in Castleknock, as well a significant amount of office space in a total of four blocks. In rejecting the scheme last month, the council said that the proposed development would represent an “intensive overdevelopment” and would be “seriously out of character with the pattern of development in the area”. The Irish Independent, 27th November
Tallaght, Co Dublin Discount retailer Dealz is set to expand its Irish operation yet again with the planned opening in December of a new 10,764 sq.ft. store at Belgard Retail Park in Tallaght, Co Dublin. The Irish Times understands that Dealz have entered into a new 10-year lease at a rent of €200,000 per annum (€18.58 psf) on the unit occupied formerly by Mothercare. Dealz now have over 100 stores in Ireland with the latest addition to its network bringing its total in Dublin to 17. The Irish Times, 25th November
Tallaght Shopping Centre The company which owns the freehold interest in The Square Tallaght Shopping Centre in Dublin, The Square Management, has included a note regarding its going concern and the refinancing of its intermediate parent company OCM Luxembourg Square Retail and its “significant third party debts which mature in less than 12 months” in its results published for the year ended September 30th 2019. It said it is confident it would continue to receive support for at least a year and that it expected trading to approach normal levels by the first quarter 2021. The Sunday Independent, 29th November
Data Centres A total of €1.25 billion has been spent on the construction of data centres in Ireland this year and €6.7 billion is expected to be spent on building them over the next five years, a new industry report has found. The Host in Ireland biannual report into the country‘s data hosting industry found that the effect of Covid-19 on it had been minimal, while construction and planning applications for new projects continued apace. There are now 66 operational data centres in Ireland, 11 under construction, 29 with planning approved and another five that have submitted planning applications. The vast majority of existing and planned data centres are for the Dublin region. The Business Post, 29th November
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Sandymount, Dublin 4 The Sunday Business Post is reporting that 19 large apartments at The Willows in Sandymount, Dublin 4 has come to the market with a guide price of €8 million. The entire Willows scheme comprises 42 apartments in two self-contained blocks overlooking the YMCA sports grounds off Claremont Road and close to Sandymount Village. The investment comprises 19 of the 21 apartments in Block B. These include a one-bedroom apartment of 699 sq.ft, 15 two-bedroom apartments of c.936 sq.ft. and three three-bedroom penthouse apartments, which average 1,603 sq.ft. There is ample car parking provided at both surface and basement levels. The passing rent, when one vacant show unit is let, will be c.€465,000 per annum. The Sunday Business Post, 15th December
Middle Abbey Street, Dublin 1 A major Airbnb-style short-term rental development at Nos 60 and 61 Middle Abbey Street in Dublin has been granted planning permission. Permission for planning was applied for in May to convert the upper three floors of offices into nine apartments for use as short-term rentals. The plan included two studios, with four one-beds and three two-bed apartments. The plan was rejected in July as Dublin City Council argued that the development could harm residential housing provision in the area. An Bord Pleanála overturned that ruling stating that the proposal “would not result in the loss of long-term residential stock within the inner city and would increase the provision of tourist accommodation”. The Sunday Business Post, 15th December
Donnybrook, Dublin 4 Richmond Homes is seeking to add more than 50 apartments to a development in Donnybrook. Planing permission was approved this year from Dublin City Council to build 94 apartments on a corner site at Eglinton Road, near Donnybrook village, despite more than 70 objections to the seven-storey project. Some residents appealed against the decision to An Bord Pleanála, but it upheld the approval. Richmond Homes has now started consultations with An Bord Pleanála about building 148 apartments on the site. The Times, 15th December
Dublin Docklands RGRE has secured permission from An Bord Pleanála to develop 464 Build-To-Rent (BTR) apartments and 200 co-living bed spaces in the Dublin docklands. Located adjacent to Salesforce’s new European headquarter campus, which is under construction, the units at Spencer Place will be distributed across two blocks rising in height to 11 and 13 storeys respectively. The apartments have been designed to cater for the upper end of the residential rental market, and will include a hotel-style lobby reception with concierge desk manned on a 24/7 basis, an electric car share club, a rooftop residents’ lounge and garden with fitted barbeque facilities, a penthouse residents’ gym, private dining spaces and a multimedia room. Upon completion, the residential units will account for 370,354 sq.ft. of the 717,000 sq.ft. of space RGRE is set to deliver as part of its wider mixed-use scheme at Spencer Place. The Irish Times, 13th December
The Irish Times reports that property prices are now rising by just 0.9% per annum, the lowest level of increase in almost 12 years, as the pick-up in housing supply continues to cool the market. The latest official figures from the Central Statistics Office (CSO) show prices in Dublin, which has seen the largest increase in residential construction, dropped 1.5% in the 12 months to October. The figures come after the Economic and Social Research Institute (ESRI) said earlier this week that “prices are as high as they can possibly go given affordability in the domestic economy.” The institute added that the cost of supply is one factor that needed to be addressed. The Construction Industry Federation noted that 41% of the cost of delivering an apartment was related to costs such as taxes, levies, the cost of finance and land costs. The Irish Times, 12th December
Blarney, Cork The Sunday Business Post is reporting that JCD Group, the new owner of Blarney Business Park in Cork, has committed to a €10 million investment in the site, which will see the next two phases delivered in early 2020 and a commitment to invest further and develop all the land at the campus in the next two years. Since 2018, JCD has completed a c.51,000 sq.ft. Grade A high bay warehouse/light industrial warehouse in Blarney, which was fully let before completion. Another c.60,000 sq.ft. site was also completed and is now also fully let, while two more buildings, which are being built on spec, measuring c.12,000 sq.ft. and c.60,000 sq.ft, are under construction. The Sunday Business Post, 15th December
Dublin Hotel Market The 2019 Dublin Hotel market was driven by a number of “big ticket” hotel sales, with international investors, focused on high-quality Dublin hotels, accounting for two thirds of total transaction activity in 2019. Major Dublin deals included the €134 million sale of The Marker (which will be rebranded as Ananatara), the €116 million sale of the Conrad Dublin, the €50 million sale of Portmarnock Hotel & Golf Links and the €40 million sale of The Central Hotel. The average price per key achieved across all Dublin hotel sales in 2019 was € 400,000 per key. Furthermore, the sale of The Marker achieved a price of just over € 700,000 per key, a new high point in the Dublin hotel market. JLL Annual Hotel Report, The Irish Times, 4th December
Gloucester Street, Dublin 2 Premier Inn owner Whitbread, working with its development partner Red Rock Developments, has secured its fourth hotel location in Dublin city centre. Located on Gloucester Street in the city’s south docklands, the site will be redeveloped into a 10-storey hotel comprising 108 bedrooms. Since signalling its intention to expand into the Irish market in 2018, Whitbread has secured 635 Premier Inn rooms in Dublin city centre in four hotels – at South Great George’s Street, Jervis Street, Castleforbes Business Park and now Gloucester Street. The hotels, which are a mixture of freehold and leasehold acquisitions, are planned to open from early 2021 onwards. The Irish Times, 12th December
BidX1 Auction At a recent BidX1 online auction, two sites sold for greater than €1 million-euro. The first was 52 acres of residential zoned land near Mallow, Co Cork, which sold for €1.524 million (€29,308 per acre), 17% over its auction guide price but less than the €2 million it was on sale for in June. Planning permission for 112 residential units has expired on the site which is within walking distance of the railway station. The second site is a 7.19-acre parcel of residential development land at Dublin Road, Dundalk. The site sold for €1.011 million (€140,612 per acre), more than double its auction guide price. The Irish Independent, 11th December
Three Dublin Landings Iput has paid c.€115 million to acquire an office block on Dublin’s north quays, Three Dublin Landings. The Irish Times understands that the development of the office block is expected to complete within “the coming weeks” and will add 120,000 sq.ft. of office space set over five storeys with a lower ground floor and basement to the company’s portfolio. Iput’s net asset value stood at €2.6 billion at the end of September. Iput’s Dublin portfolio now consists of 2.1 million sq.ft. of office space with further space, including Wilton Park and the Tropical Fruit Warehouse, under development. The Irish Times, 16th December
Grand Canal Quay, Dublin 2 Dublin city council has approved plans to increase the size of the building at 1 Grand Canal Quay to 11 storeys, from its existing 7 storeys. The building is adjacent to the Dart line, close to the Grand Canal Dock station. It has been occupied by Google since earlier this year and sits across the Grand Canal basin from their European headquarters on Barrow Street. The expansion plan involves demolishing the existing seventh floor and stripping back the sixth floor, before adding the four extra levels. There would be balconies from the sixth to the 10th floors. The Times, 15th December
Tullamore, Co Offaly Planning permission has been granted for a new €20 million retail centre in Tullamore, Co Offaly. The Irish Times understands that the Riverside Centre will have a mix of 15 retail units, a cinema, cafes and restaurants, as well as eight residential units. The Irish Times, 12th December
Irish Investment Property Market The Irish investment property market broke new records this year, with nearly €5.92 billion worth of investment deals. As much as €2.865 billion of the deals came in the last quarter of the year amounting to almost half of the value. Much of that appears to have been in train before finance minister Paschal Donohoe increased the stamp duty rate on non-residential property to 7.5% from 6%. Among the late commercial deals to close this month was Aberdeen Standard’s sale last week of Allianz House, one of the office blocks at Elmpark, Dublin 4, for c.€53m. It was purchased by German fund Quadoro Doric which already owns office blocks in Dublin and Cork. The Irish Independent, 13th December
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South Bank House & The Warehouse, Dublin City Centre Google Ireland has acquired two Grade A offices leased to Dublin law firm Mason Hayes and Curran from Kennedy Wilson. The assets located on Barrow Street comprise of c. 81,000 sq.ft. in total and are adjacent to Boland’s Quay, a mixed use development due Q1 2020. South Bank House was completed in 2006 and provides c. 62,000 sq.ft. Grade A offices. The Warehouse is on the waterfront to the rear of South Bank House and comprises a 19th century, three storey warehouse building with c. 19,500 sq.ft. refurbished to modern office space. The Irish Times, 17th December 2018
Hume House, Dublin 4 Irish Life is reportedly set to obtain planning permission to develop a new 236,000 sq.ft. eight storey over double basement office complex at Hume House Pembroke Road, Dublin 4. Irish Life acquired the Hume House office block on 0.86 acres for €35m in 2016 from Blackstone with the benefit of planning permission for a 150,000 sq ft office scheme. The Irish Times, 12th December 2018
Drogheda, Co. Louth A first-floor 6,157 sq.ft. Grade A office space with six car-parking spaces in South Quay Buildings, Drogheda, Co. Louth is being offered to let at €96k p.a. (€15.59 psf) by agent Shane Black. The property was previously occupied by Ulster Bank and is close to the centre of Drogheda. The Irish Times, 12th December 2018
White Heather Industrial Estate on the South Circular Road, Dublin 8 has been acquired by British property group U + I for an undisclosed amount. The 2.84 acre site comprising of seven warehouse buildings and a three-bedroom period home generating rental income of €542k p.a. from five tenants including An Post. The closest break option in the leases is 5.4 years. The sale was offered for sale by Lisney via Public Tender in September and it was reported the site could sell for c. €7m at the time. The Irish Times, 17th December 2018
Carrickmines Retail Park, Dublin It is reported that Iput has agreed to buy phase two of Carrickmines Retail Park for €95m. The fund already bought phase one of the park in 2014 for €157m and also controls phase three of the site, which planning has been lodged for 600,000 sq.ft. of retail space. The vendor of phase two is understood to be a syndicate of Warren Private clients. The Sunday Business Post 16th December
Abbey Street, Dublin 1 Fitzwilliam Real Estate Properties has lodged a commencement notice for a €55m retail development and 310-bedroom hotel to be operated by budget brand Motel One at the junction of Liffey Street and Middle Abbey Street in Dublin 1. Fitzwilliam Real Estate Properties also recently obtained planning permission nearby on a site with frontage onto Middle Abbey Street and Williams Lane for a hotel with restaurant, bar and 257 bedrooms. The development will involve the demolition of several buildings and the replacement of the top three floors of Arnotts’ car park with hotel rooms. Separately, Marlet Property Group obtained planning permission last week for a 239 bedroom hotel on Abbey Street Upper and an aparthotel of 257 units on Great Strand Street. SW3 Capital was also granted planning permission for a 180 bedroom hotel to replace Twilfit House on Abbey Street Upper beside Jervis Shopping Centre earlier in 2018. The Irish Times, 12th December 2018
Ashling Hotel Dublin Planning permission for a nine-storey aparthotel, including 27 self-contained suites, beside the Ashling Hotel in Dublin has been refused by Dublin City Council. The plans would have involved the demolition of the four storey semi-derelict building adjacent to the existing Ashling Hotel. Dublin City Council noted that it would be contrary to development plan provisions. The Irish Independent 14th December
Build to Rent Platform Urbeo Residential is to partner with Starwood Capital through its Starwood Global Opportunity Fund XI and the Ireland Strategic Investment Fund (ISIF) to develop a €1bn build-to-rent platform targeting standard, social and supported tenancies in Dublin and other cities. The platform will initially have a portfolio of three assets totaling 334 private and social units in Dublin in addition to a pipeline in excess of 2,500 units under negotiation or exclusivity, including a scheme at Bancroft in Tallaght. ISIF is reported to have invested €60m in the platform including an existing 48% share in the Bancroft Tallaght site. The Irish Times, 17th December 2018
Ring of Kerry “An Culu”, a 20 year old 9,000 sq.ft. six-bed, five-storey ‘castle like’ property complete with moat, turrets and towers, set on five acres has been brought to market with Savills guiding €4.5m (€500 psf). The Irish Examiner, 15th December
Serviced Office Space 13.5% of office take up in Dublin during the first three quarters of 2018 was by serviced workspace suppliers. The figure just passed London’s 13% for the same period. Dublin’s 13.5% take up equated to 290,626 sq.ft. The Irish Independent 17th December
Monasterevin, Co KildarePaddy McKillen’s plan for an Irish Whiskey distillery on the site of the Ballykelly Mill in Monasterevin Co Kildare has been returned by Kildare County Council deeming the application invalid as the site notice did not mention the “Natura Impact Statement” which was included in application. The proposal is for a €50m distillery and visitor centre. The Irish Independent, 14th December
Clare University TownConstruction on a €2bn university town in Clare will commence in 2021. Clare County Council intend to apply to designate the area as a Strategic Development Zone in January. The 325 acre site intends to include commercial and residential units. It is intended for the campus to form part of University of Limerick’s wider campus. The Sunday Business Post, 16th December
Portfolio of Six Crèches let to Park Academy generating rent of €647k p.a. in total with a WAULT of 13.75 years has been sold by Kelly Walsh for €7.28m (NIY 8.19%). All bar one crèche in Greystones are located in south Dublin being Beacon South Quarter, Sandyford; Beacon Court, Sandyford; Cherrywood; Cabinteely and Booterstown. The Irish Times, 12th December 2018
Limerick Twenty Thirty the property development company which is an SPV of Limerick City and County Council has announced plans to create a €200m tourist attraction on its ten-acre Cleeves campus, a former toffee factory, on the Northern bank of the River Shannon. The scheme will include residential, commercial, retail and educational uses as well as a tourist attraction on the site when it is completed in about five years’ time. Cleeves is one of five sites under the responsibility of Limerick Twenty Thirty. One of the other sites, the 112,000 sq.ft. Gardens International site will be opened in January 2019. Half of that building has been pre let to Nordic Aviation Capital The Sunday Business Post, 16th December
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Mount Merrion, Dublin 4 An Bord Pleanála has granted permission for 50 apartments, pub and restaurant on the site of the Union Café in Mount Merrion which is likely to increase the interest from bidders in the site. Knight Frank brought the site to market last month along with the adjoining lot occupied by Flanagan Kerins totalling 1.88 acres guiding €32m. The Irish Independent, 6th December
Foxrock, Dublin 18 Knight Frank is seeking €1.295m for a four-bed, 2,443 sq.ft. rebuilt dormer bungalow located on 1.18 acres on Mart Lane, Foxrock. The Sunday Business Post, 9th December
RTÉ Montrose Site, Dublin 4 Cairn Homes has lodged planning permission with an Bord Pleanála for 619 apartments and three townhouses on the 8.64 acre site it bought from RTÉ for €107.5m (€173k per site) in 2017. It is 22% more than the original 500 units Cairn Homes indicated it would build. The Irish Independent, 6th December
Maynooth, Co. Kildare A 23 acre residential landbank in Maynooth, Co Kildare is being offered for sale with a guide price of €17 million (€739k per acre) via joint agents Cushman & Wakefield and Sherry Fitzgerald Brady O’Flaherty. The landbank for sale is part of 81.5 acres recently rezoned in the Railpark area east of Maynooth town centre which is set to accommodate a significant residential scheme of up to 800 units. The Irish Times, 5th December
Cherrywood, Co Dublin Construction commenced this week on 1,269 units which will be available to rent in Cherrywood by 2020. The completed build to rent scheme will be held, rented and managed by Hines and APG. The scheme will also include 130 social housing units. Hines and APG have also announced plans to deliver 3,000 units to the rental market in Dublin and the Greater Dublin Area in the new few years. The Irish Independent, 11th December
Roseville House, Corbally Road, Limerick DNG Cusack Dunne is seeking €855,000 for a 4,000 sq.ft. two storey over basement, four bed house in Limerick. The property, dating back to 1840 has been recently renovated and comes with a B1 energy rating, which is unusual for a house of that age. The Irish Examiner, 8th December
Sandymount, Dublin 4 Maxol has been given approval to demolish their petrol station and adjoining car dealership on Beach Road, Sandymount, Dublin 4 to make way for 90 apartments. The 11,500 sq.ft. development will comprise 23 one-bed, 53 two-bed and 14 three-bed apartments along with 90 car parking spaces. The Sunday Independent, 9th December
2018 Office Lettings and Acquisitions Facebook and Google topped 2018’s largest Dublin property deals. The announcement of Facebook’s move to what will be the redeveloped of 14 acres at AIB Bankcentre in Ballsbridge has been the largest office letting to ever complete in Dublin. When redeveloped, Facebook will have an office footprint of 870,000 sq.ft. Separately Google also completed a number of large deals, most significantly the purchase of the Boland’s Quay development together with its Barrow Street headquarters for €300m. This will include 301,389 sq.ft. of office space and 46 apartments along with cafes and cultural spaces. The Beckett Building on East Wall Road, Dublin 3, a 190,000 sq.ft property also sold for €101m to South Korean-based Kookman Bank. The Irish Times, 5th December
Farranlea Road, Cork Round Hill and NBK Capital have acquired a site in Cork and intend to start construction immediately on the mixed use project including 145 student beds. It is estimated that the project will cost in the region of €19m. The Cork building will be managed by Nido Student, Round Hill’s operational platform and brand for European student accommodation. The Irish Independent, 5th December
Kylemore Road, Dublin 10 M7 Real Estate has acquired the 31 unit (192,000 sq ft) multi-let Westlink industrial estate on Kylemore Road in Dublin 10 for €13.87m (€72.24 psf and a reported NIY c. 7%). The vacancy rate is 22% and M7 is reportedly planning extensive upgrade works with refurbished units due to be available to let from Q1 2019 through letting agents JLL and CBRE. The property previously transacted in 2016 for €7.5m. The Irish Times, 5th December
Iceland has announced plans to open 50-70 new stores throughout Ireland, doubling their size within the next five years. The Sunday Independent, 9th December
Dublin Airport It is reported that the DAA, the operator of Dublin airport has entered into exclusive talks with UK based Arora Hotels regarding the construction of a 400-bed hotel at Terminal 2. The Sunday Times, Irish Edition, 9th December
Hotel Sales have slowed in 2018 despite average Dublin room rates reaching a record €155.75, occupancy rates of 89.6% and RevPar increasing 9.7% to €139.51. Cushman and Wakefield noted that the slowdown is attributable in part to the drying up of distressed asset sales which were prevalent in 2014-2016. Recent sales include Hilton Dublin Airport for €22.5m and Ibis Hotel off the Red Cow Interchange for €14m and are the only two to transact in the Capital in the year to date. The Irish Times, 5th December
Windfarms Greencoat Renewables, an Irish subsidiary of Greencoat Capital has acquired two wind farms from Blackrock Real Assets for c€88m. The two windfarms are based in Monaincha, Co. Tipperary and Garranereagh, Co. Cork. This deal brings the company’s Irish share in the onshore wind market to c10%. The Times, Irish Edition, 11th December
Foreign Direct Investment Rankings According to the annual report from fDi Intelligence, an investment publication which is part of the Financial Times Group, Dublin is ranked as the third best city in the world for foreign direct investment. Dublin ranks behind London at number two, although the report notes that gap is closing, and Singapore at number one. fDi Intelligence commented that “Dublin boasts the highest level of foreign direct investment on a per capita basis of all locations in the study” Dublin also performed well in sub categories in the study, ranking number one for “economic potential” among large cities. The Times, Irish Edition, 11th December
Crane Count Crane Count in Dublin reached a record high of 104 on 1st December. 39 of the cranes are located in North Dublin and 65 in South Dublin. The Irish Times, 4th December
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The Exchange, IFSC, Dublin 1 Following the letting of the remaining 60,000 sq.ft. of office space for €50 psf, the Exchange, the first office block built in the IFSC since 2003, is now fully let. Tenants now include Mediolanum Banking Group, PartnerRe, Coinbase, Walkers, Food Safety Authority of Ireland and Ronan Daly Jermyn. Construction of the 106,000 sq.ft five storey grade A office block along with two retail units totalling 1,679 sq.ft. commenced in 2016. The Irish Times, 28th November
61 Thomas Street, Dublin 8 Developers Oakmount are currently constructing 13,401 sq.ft. of grade A office space over four floors along with a landscaped terrace area. Construction is expected to complete by end of Summer 2019 and will include six car parking spaces. The Sunday Business Post, 2nd December
The Wythe Building, Cuffe Street, Dublin 2 the 17,494 sq.ft. six floor office block currently under construction, which is due for completion by March 2019, has been brought to the letting market through joint agents Savills and CBRE who are seeking €55 psf. One floor has already been reserved. Floor plates are between 2,121 sq.ft. to 3,531sq.ft. The Irish Times, 27th November
Lennox Building, Dublin 2 The Irish Independent reports that Paddy McKillen Jr is in negotiations to sell the the Lennox Building to an unnamed party. The 32,938 sq.ft. four storey over lower ground basement currently under construction, with a January 2019 completion date, is pre-let to Iconic Offices. Press Up Entertainment Group will let the ground floor restaurant and ancillary area. Rent is expected to be €1.383m pa. The Irish Independent, 1st December
98 Merrion Road, Dublin 4 Bartra Capital has secured planning permission for the demolition of 98 Merrion Road and construction of 20 luxury apartments over five storeys. The Sunday Independent, 2nd December
Santry, Dublin 9 The Cosgrave Group has sold 219 apartments currently under construction at Bridgefield, Santry, Dublin 9 to joint venture purchasers QuadReal Property Group and Round Hill Capital for more than €80m. The apartments will be incorporated in three six-storey apartment blocks and will comprise three one-bed, 161 two-bed, 15 three-bed apartments along with 34 two-bed penthouses and three three-bed penthouses. The scheme will also include 328 car parking spaces. Construction is expected to complete at the end of 2019 and rents are forecast at €1.6k for one-bed, €1.8k for two-bed and €2.05k for three-beds. The Sunday Business Post, 2nd December
Dublin Landings, Docklands First round bids are due to be submitted by 12th December for 268 apartments currently under construction by Ballymore and Oxley at Dublin Landings. The Irish Independent reports that over 12 parties have expressed an interest and offers could exceed €200m. The Irish Independent, 29th November
42 Acres, Maryborough Ridge Douglas, Cork has been purchased by Glenveagh Properties for €22m (€523k per acres). 19 of the 42 acres has planning permission for 198 houses. The remaining 23 acres is zoned and has the potential to provide hundreds more. The land was offered as (i) a licence to develop on lot 1 (19 acres) and (ii) option to buy on lot 2 (23 acres). The company separately applied for planning last month under the fast track strategic development provision for 176 homes at Maple Woods, Ballincurra. The Irish Examiner, 29th November
4.2 acres Maynooth, Co Kildare Coonan Property are seeking €2.94m (€700k per acre) for a newly zoned residential 4.2 acre site near Maynooth. The site has capacity for up to 60 houses. The Irish Times, 28th November
3.75 acres, Killiney, Co Dublin Park Developments has purchased 3.75 acre site located beside the Graduate roundabout in Killiney for €9.5m (€2.53m per acre) and it is reported that they will seek planning permission for up to 150 apartments on the site. The Irish Times, 28th November
Magna Business Park, West Dublin CBRE is guiding €3.75m (6.13% NIY) for a 31,620 sq.ft. warehouse / office property in Magna Business Park. The property is let to O’Brien’s Ingredients at €240k pa. The Irish Times, 27th November
Heritage Hotel, Killinard, Co Laois a five star, 98 bed room hotel, known for its spa, which is one of the top five spas in the country has been sold for almost €9m to FBD Hotels and Resorts. The hotel overlooks the Seve Ballestros-designed championship golf course. The Hotel and golf course were previously sold separately by Receivers. The Irish Times, 3rd December
Project Beech AIB is preparing to open the data room for Project Beech in the next few days, a loan sale worth an estimated €1bn. It is reported the majority of the sale will relate to non-family home loans. AIB has reduced its non-performing loans from €31bn peak in 2013 to €7.2bn. The Sunday Business Post, 2nd December
Project Glenbeigh The Permanent TSB €1.3bn bad loan portfolio has completed bringing the bank’s non-performing loan ratio to less than 10%, the lowest it has been since the economic crash. The tranche of non-performing loans, primarily regarding private homes, was dealt with through a securitisation procedure, rather than a straight loan sale. Irish banks have until 2020 to comply with European Central Bank stipulations to reduce their bad loan exposure to 5% of their loan books. The Times, Irish Edition, 30th November
DIT Cathal Brugha Street, Dublin 1 a 76,126 sq.ft four storey over basement property has been bought by the Department of Education for €24m. It is expected that the Department will use this for their planned “1,000-pupil post-primary school” for students from Dublin 1, Marino and Drumcondra. The property was previously brought to market guiding €15m in 2016 but was withdrawn over uncertainty on the timeframe for the relocation to the DIT campus in Grangegorman, Dublin 7. This will be available by 2020/21 academic year when DIT will vacate Cathal Brugha street. The Irish Times, 28th November
Cushman and Wakefield Q3 Report – Limerick Industrial / Office
175,452 sq.ft of industrial space transacted in the first nine months in 2018, 90% of which related to leasehold transactions. There is currently 1,469,812 sq.ft. of space available at the end of Q3 and while this is the highest of the three regional centres outside Dublin, it is a decrease of 5% YoY. Cushman and Wakefield highlight that while availability is the highest, Limerick also holds the largest volume of Grade C space at 65% compared with 19% in Cork and 7% in Galway. Prime rents have increased to €5.48 psf up from €4.48 psf during the same period in 2017.
68,351 sq.ft. of office space was taken up in Limerick in the first nine months in 2018 over 11 lease deals compared with 84,497 sq.ft in the same period in 2017.Notwithstanding this, there was 65,660 sq.ft. either signed or pre-let at the end of Q3 which if taken up by year end will match 2017 figures. At the end of Q3 there was 631,303 sq.ft. available, which represents at 19.2% decline YoY, and is the first time in ten years the figure has fallen below 645,834 sq.ft. Vacancy rates were 15.3% at the end of Q3 from 19.4% the previous year. City Centre prime grade A rents are achieving €30.19 psf while new building in the suburbs are achieving 26.62 psf. Prime headline rents remain at €19.97 psf.
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Tesco Ireland: Tesco Ireland will invest a total of €70m in its stores between 2017 and 2018, with €31m earmarked for a new retail centre in Liffey Valley. The retail centre, which opens in May 2018, will employ 150 people and comprise a 60,000 sq. ft. Tesco store with five-ground floor retail units, a first-floor café and a number of kiosk units. The retail giant opened its first new store in four years in Swords last May and is planning further expansion, particularly in its grocery home shopping business, which is seeing substantial growth. The Irish Independent, 18th December
80 Grafton Street: Irish Life is close to completing the acquisition of its 19th retail property on Grafton Street, with the purchase of the Molton Brown store for in excess of its €9m guide price. The sale shows an initial yield of only 2.81% however this is expected to rise with the next rent review in October 2019, as the current rent of €275k p.a. is perceived to be well-below market rent. The Molton Brown store is located at 80 Grafton Street and has a retail trading area of 925 sq. ft. and the building has an overall floor area of 4,250 sq. ft. over five floors. Molton Brown occupy the property under a 15-year lease which still has c. 12 years to expiry. The Irish Times, 13th December
Chancery Building: Hibernia REIT has sold the Chancery Building in Dublin 8 to an unnamed buyer for €23.8m, after paying €16m to acquire the property via a secured loan purchase three years ago. Hibernia have undertaken an extensive asset management strategy since acquiring the property, increasing the weighted average unexpired lease term of the property from two years to eight years. The sales price also reflects a tighter yield of 5.9% when compared to its yield three years ago of 6.8%. The current tenants include the Office of Public Works and Wella. The Irish Independent, 19th December
Standard & Poors (S&P) Dublin Office: The ratings agency S&P Global Ratings has chosen Dublin as its European base for its post-Brexit hub, with its new offices set to open by December 2018. The new entity was registered three months ago under S&P Global Ratings Europe (S&PGRE), and the new office will see a number of positions created at managerial, analytical and support level. The Irish Times, 14th December
Eli Lilly Office: Eli Lilly are set to further expand their presence in Cork, after it was announced that the O’ Flynn Group are to build a €20m, 70,000 sq. ft. office block for the firm adjacent to their existing Cork office in Eastgate Business Park, Little Island. The new block, Island Hall, will facilitate up to 500 staff, and will bring their total office footprint in the business park up to 135,000 sq. ft. Eli Lilly have been in Ireland since 1976, and have been manufacturing in Kinsale since 1981, where a new €200m biopharma plant is being constructed. The Irish Examiner, 14th December
Lone Star Portfolio: Lone Star has sold a portfolio of 37 European hotels to a bid led by the Swedish hotel group Pandox for £800m. The portfolio consists of the entire Jurys Inn portfolio as well as one Hilton Garden Inn at London’s Heathrow Airport. The transaction sees Pandox retain ownership of 20 hotels in the portfolio, as well as the operations of the Hilton Garden Inn. Its bid partner Fattal Hotels Group will acquire the remaining properties in the transaction. The portfolio included three Irish hotels: Jurys Inn Galway, Cork and Dublin. The Irish Times, 13th December
Dalata Expansion: As part of their latest trading update, Dalata Hotel Group has announced that it will open 1,281 rooms in Ireland and the UK in 2018. The group also project that earnings for 2017 will be in line with market expectations, with Davy forecasting earnings of €102.5m, which reflects growth of 20% YoY. Recent transactions undertaken by Dalata include the signing of a 35-year lease for a 250-room Maldron Hotel in Glasgow and the purchase of 62 bedrooms in the Clayton Hotel Cardiff Lane, in Dublin, for €8.7m. Dalata now owns 252 of the 304 bedrooms in the Clayton Hotel Cardiff Lane. The Irish Independent, 19th December
Donnybrook Hotel: Kouchin Holding, controlled by Emmet O’ Neill, has sought planning permission to develop a 78-bedroom hotel in Donnybrook, Dublin 4. The site is located alongside the fire station in Donnybrook village, and the application seeks permission to demolish the existing single-storey structures at 25 – 27 Donnybrook Road and 1 – 3 The Crescent to facilitate the development. The Irish Times, 15th December
North Bank Portfolio: Kennedy Wilson has paid c. €45m to acquire a portfolio of 124 apartments, a ground floor commercial unit and 85 car spaces at North Bank in the north Dublin Docklands. The property is in a prime location, c. 200m from the Central Bank’s new HQ. According to the selling agent Hooke & MacDonald, the estimated cumulative income from the property when fully let is c. €2.63m p.a., offering Kennedy Wilson a gross yield of 5.6%. The Irish Independent, 16th December
Glenveagh Docklands Site: Glenveagh Properties has signed a deal to purchase a c. five-acre site in Dublin’s north Docklands which is expected to accommodate more than 450 residential units. The site is expected to cost c. €40m and the transaction is expected to close before the end of the year. The site is located in close proximity to the IFSC and the “Silicon Docks” area, along the East Wall Road. Glenveagh raised over €500m in an IPO when it listed on the Irish Stock Exchange earlier this year and has broken ground on five sites so far in 2017, with construction expected to begin on two additional sites in early 2018. The Irish Times, 14th December
Fernhill Golf Course: The launching of the sale of the Fernhill Golf Course and Hotel near Carrigaline in Cork by Cushman & Wakefield will be seen as a substantial residential development opportunity by developers. The 78-acre site which is being sold with vacant possession, has a €12m guide price which could increase to €20m once planning permission is in place. The site has Strategic Land Reserve (SLR) status, and according to the sales agent, has good prospects of planning and development within five years. The Irish Examiner, 14th December
16-Storey Clongriffin Development: A landmark 16-storey apartment development is to proceed in Clongriffin in north Dublin following the recent granting of planning permission. An Bord Pleanála has granted Gannon Homes permission to develop 139 units in a managed complex to include a concierge service, gym, residents lounge and extensive new roof gardens. Located between the Malahide Road and Baldoyle, Clongriffin has been designed as a new town and is expected to contain c. 3,600 homes once complete, with half of them having already been developed. The Irish Times, 13th December
Liam Cosgrave House: The potential sale of the home of the recently deceased former Taoiseach Liam Cosgrave is attracting interest from a number of the country’s biggest homebuilders. The bungalow on Scholarstown Road in Templeogue, south Dublin, sits on 16 acres of prime development land, which is zoned residential and is serviced. No agent has yet been appointed and should the sale go ahead the value is expected at close to €20m. The Sunday Times, 17th December
Grafton Street Apartments: Johnny Ronan’s Ronan Group Real Estate (RGRE) has agreed to lease three upper floors of the Permanent TSB building on the corner of Grafton Street and Harry Street in Dublin 2 to City Break Apartments. The lease, which is for a 35-year term, sets the initial rent at €150k p.a., although there are rent reviews every five years. The three upper floors of the property are to be converted into 16 apartments, and should be available by March 2018. The Irish Times, 13th December
Residential Planning Permission: The latest figures from the CSO on planning permissions show that permission was granted for 2,694 apartments in the first nine months of 2017, a decrease of 4.1% YoY. The number of planning permissions granted for housing was more positive, with permission being granted for 11,148 units, an increase of 20.7% YoY. Central Statistics Office, 14th December
Apartment Developments: The Department of Housing are set to announce a number of amendments to existing planning guidelines, with the aim of making the development of high-rise developments more attractive to developers. The new measures, which will be announced by the Minister for Housing Eoghan Murphy, will include (i) the removal of height restrictions, instead using suitability as a principle (ii) increasing the number of units on each floor for every lift or staircase from eight to 12 and (iii) removing the requirement to have car-parking spaces. The Irish Times, 18th December
Central Bank Report: A new report by the Central Bank shows that there were 75,000 mortgages (9.6% of all mortgages) in negative equity in Q3 2017, a significant improvement from the 320,000 mortgages (39.1% of all mortgages) in negative equity in Q4 2012. While the figures represent a marked decrease, they are still high when based on international standards. The figures show that there were 8.7% of family home mortgages in negative equity in Q3 2017, down from a peak of 36%, while buy-to-let mortgages are now 15.6%, having been as high as 54%. The Irish Times, 18th December
Home Repossessions: The Q3 2017 report by the Central Bank on home repossessions and arrears shows that there were 420 owner-occupier homes repossessed by lenders in the quarter, 80 more than the 340 repossessed in Q2 2017. Despite the increase, the figures show that 12,295 properties have been repossessed by lenders since 2010, which equates to c. 1.4% of the mortgage stock. The relatively low repossession rate is believed to reflect the legal impediments faced by lenders and the length of time involved in securing an order for repossession. The Irish Times, 14th December
Trinity Street Car Park: The property developer Gerry Conlon has completed the purchase of the Trinity Street car park off Dame Street in Dublin’s south inner city for in excess of €18m. The car park, which includes three ground-floor retail units and four self-contained office units, was offered for sale by CBRE with a guide price in excess of €17.3m. The asset is let under a single 35-year lease which is due to expire in 2029. Of the current rent of €920k p.a., €636k is from the car park and €284k is from the retail and office units. The property will show an initial yield of c. 4.5%. The Irish Times, 13th December
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Project Tolka Portfolio: Colony Capital is set to acquire NAMA’s c. €1.5bn par value Project Tolka loan portfolio, which includes prime Dublin properties mainly linked to developers John Flynn, Paddy Kelly and the McCormack family. The key assets in the portfolio include the Burlington Plaza office complex (c. €250m value), the Clarion Hotel in Liffey Valley and Paddy Power’s Belfield HQ. It is believed that loans linked to Carton House Hotel were removed from the portfolio by NAMA and are to be sold separately. NAMA also removed several major residential assets from the portfolio in a move related to its target of building 20,000 new homes by 2020. The Irish Independent, Friday 16th December
Liffey Valley Shopping Centre: The sale of Liffey Valley Shopping Centre and c. 17 acres of adjacent development land in west Dublin has been completed. Bayerische Versorgungskammer, Germany’s largest public pensions group, is believed to have paid in excess of €630m for the centre, which former owners Hines, HSBC Alternative Investments and the Grosvenor Group put on the market in July. The c. 764,000 sq. ft. centre has over 100 shops, 3,500 parking spaces and includes the recently opened Western End extension. In addition, planning permission was granted in August for a further c. 237,000 sq. ft. extension, alongside a new civic plaza and a 2,500-seat Olympic-sized indoor ice rink. The Irish Times, 19th December
City Quay: The Irish Times reports that Irish Life is in advanced negotiations to forward purchase City Quay, a new 118,000 sq. ft. office block currently under construction in Dublin 2. The company has reportedly outbid five overseas investment funds with its offer of over €125m for the eight storey block, which has been pre-let to Grant Thornton for an agreed rent roll in excess of €6m, offering an initial net return of c. 4.65%. It is believed that the construction and site costs for the project will be c. €70m, leaving profits of c. €55m to be shared between NAMA, Oaktree Capital Management, The Bennett Group and a small number of private investors. The Irish Times, 17th December
32 Molesworth Street: The Irish Times reports that Maple Fund Services (Maple FS) has agreed to lease Green REIT’s newly developed office building, located at 32 Molesworth Street in Dublin 2. The 32,000 sq. ft. property is being let on a 20-year lease (with break options in years 10 and 15) for c. €1.65m p.a., which equates to c. €51.70 per sq. ft. The property is the first of several new office developments by Green REIT to be leased, and the company has stated that the letting will enhance both their income profile and weighted average unexpired lease term. The Irish Times, 15th December
Shelbourne Road Office Complex: October Management Ltd, a company belonging to developer David Daly, has lodged a planning application with Dublin City Council seeking to undertake a redevelopment project in Ballsbridge, Dublin 4. The application proposes to demolish the existing five-storey, 40,000 sq. ft. IPC House at 35-39 Shelbourne Road and construct a 130,000 sq. ft. 5-7 storey over basement scheme, containing 120,000 sq. ft. of offices, retail/café space and 26 basement car parking spaces. Mr Daly is also working on the redevelopment of Franklin House in Ballsbridge, which will be developed as a 30,000 sq. ft. office building. NAMA Wine Lake, 18th December
The Temple Bar Hotel: The Temple Bar Hotel in Dublin city centre has been sold to The Ascott Ltd, a Singapore-listed real estate company, for c. €55.1m in an off-market transaction. The Ascott Ltd is a wholly-owned subsidiary of CapitaLand Ltd, and currently operates over 29,000 serviced residence units in America, Asia, Europe and the Middle East, with over 22,000 units also under development. The Irish Independent, 16th December
Dublin Airport Hotels: GC Hotels has received planning permission for two expansion projects beside its existing Radisson Blu Hotel at Dublin Airport, which will have a combined cost of c. €60m. Planning permission has been granted for a six-storey extension to the existing hotel (providing an additional 131 new bedrooms) and for the construction of a new seven-storey, 144-bedroom hotel beside the existing premises. The projects will bring the total room count at the two hotels to over 500. The Irish Independent, 16th December
Dublin 8 Hotel: Realmside Ltd has applied to Dublin City Council to construct a 234-bedroom hotel in the Liberties area of Dublin 8. The project would see the existing 3,000 sq. ft. structures at 118-128 The Coombe demolished and replaced with a newly constructed six-storey 120,000 sq. ft. hotel. NAMA Wine Lake, 18th December
Stockhole Lane Hotel: Carra Shore Hotel (Dublin) Ltd has sought planning permission for a 427-bedroom hotel on Stockhole Lane at Clonshaugh, near Dublin Airport. The proposed 10-storey development would contain 317 bedrooms, 110 suites, leisure facilities, meeting rooms and 461 parking spaces. The Sunday Times, 18th December
Andrews Lane Theatre Hotel: Appalachian Property Holdings Ltd has sought planning permission for a 155-bedroom ‘compact luxury’ hotel near Dame Street in Dublin city centre. The development will involve the demolition of the former Andrews Lane Theatre, which is currently being used as a nightclub, and the construction of a nine-storey over lower ground-floor hotel. The hotel will contain compact bedrooms of approximately 150-170 sq. ft. and minimal amenities (there will be a reception and coffee dock, but no restaurant or bar). It is anticipated that the hotel will be run as an independent brand with rooms priced at c. €150 per night. The total investment, including site purchase, is estimated at €21m. The Irish Times, 16th December
Malahide Apartments: Agents Hooke & MacDonald will be guiding in excess of €40m for 105 apartments in The Casino apartment development in Malahide when it is offered for sale in January. The complex contains 115 high quality apartments, ten of which were sold to private investors when it was developed in 2005. The portfolio contains 85 two-bedroom and 20 one-bedroom homes, and the proposed purchase prices equates to c. €381k per apartment. The current rental income for the apartments is c. €1.9m p.a., however based on recent lettings it is believed the market value of rents is c. €2.37m. If this market rate were to be achieved, this would equate to a yield of c. 5.93%. It is expected that the sale will attract significant interest from both Irish and international investors. The Irish Times, 14th December.
Horizon Logistics Park: Green REIT is spending c. €12.25m to acquire c. 164 acres of land located adjacent to its existing holding at Horizon Logistics Park at Dublin Airport, bringing its total land holding in the park to c. 264 acres. According to the company, the acquisition will allow them to capitalise on the increase in both demand and rental values for well-located modern logistics units. The Irish Times, 15th December
Poolbeg Special Development Zone (SDZ): Construction of up to 3,000 apartments will be permitted on the former Irish Glass Bottle site under plans for a new urban quarter on Dublin’s Poolbeg peninsula. It is anticipated that 80% of the c. 37-acre site will be set aside for the construction of new homes, all of which will be apartments, with the remaining 20% to be an office and retail ‘buffer zone’, which will separate the housing from the nearby industrial land banks. The apartments will mostly be in blocks under nine-storeys, however some blocks of 14-16 storeys will also be permitted. The draft Poolbeg SDZ scheme will be available for public consultation next month, and is expected to be finalised by next May, after which landowners will be able to apply for planning permission which cannot be appealed to An Bord Pleanála. The Irish Times reports that the document contains no provision for the development of a proposed ‘Hollywood style’ film studio on the site. The Irish Times, 16th December
Brunswick Street Student Accommodation: Global Student Accommodation (GSA), an international student accommodation specialist, have been granted planning permission to develop 571 student rooms and associated retail space on Brunswick Street in Dublin City Centre by An Bord Pleanála. The new project is the latest element of the company’s plans to invest €250m in the provision of student accommodation in Dublin over the next five years. The Irish Independent, 16th December
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