Credit Suisse sees value of IFSC office block jump to almost €75m
A FIRM controlled by Credit Suisse has continued to reap the benefits of Dublin's soaring commercial property scene, with the valuation it has placed on its La Touche House in the capital's IFSC having jumped by almost €5m between 2015 and 2016.
Accounts filed in Luxembourg for the company behind the building, and seen by the Irish Independent, show that the office block was valued at nearly €75m at the end of 2016.
That's well over twice the price that was paid for the landmark property in 2013 after the Credit Suisse subsidiary acquired the offices from a group of up to 78 investors that had been assembled by Warren Private, and which included former Ireland football manager Steve Staunton.
The accounts for the company behind the building show that it was valued by Zurich-based firm Wuest & Partner at €74.8m at the end of 2016.
That compares to a valuation of €69.9m put on the premises at the end of 2015.
The building was valued at €50.4m at the end of 2014.
The latest valuation is based on current projected annual rental income of €3.3m, and potential rental income of €4.5m, according to the accounts.
However, the six-storey office block currently generates a rent roll of about €4.5m a year. It's occupied by tenants including Zurich Bank.
As a result of the increased valuation, the provision for capital gains tax that would arise from the sale of La Touche House was raised to €13m at the end of 2016 from €11.3m a year earlier.
La Touche House was built in 1993 and was one of the initial developments in the International Financial Services Centre.
Bank of Ireland bought it that year as a shell building, for €38m.
Warren Private acquired it on behalf of investors in 2002 for €82m.
Tax breaks would enable the investors to offset rental income against €48m in unclaimed capital allowances.
The investors provided a total of €25m in equity to fund the acquisition, with Anglo Irish Bank providing debt.