Irish buyer for BOI HQ in centre of Limerick
A domestic investor has forked out €10.5m for a Bank of Ireland head office building (pictured) in the centre of Limerick City.
The office block on O'Connell Street had gone on the market in December 2014 through Knight Frank with an asking price of €8m. That was a fraction of the €20m that it had sold for in 2008.
The property comprises an imposing 3 storey over basement building of approximately 2,095 sq m (22,550 sq ft) with a stone clad and glazed facade.
Knight Frank say the property was "extensively upgraded and refurbished" in September 2009 and is a fit for purpose headquarters building.
Key specifications include air conditioning, suspended ceilings, recessed lighting and two lifts.
The property is let to Bank of Ireland on a 25 year full repairing and insuring lease from December 2006. The passing rent is €685,736 per annum with upward only rent reviews every five years. The purchase price represented a net initial return in the region of 6.2pc.
Knight Frank commented: "The ground floor accommodates the public banking hall with ancillary office and storage to the rear.
"The upper floors provide for further attractive modern office accommodation which can be separately accessed if required.
"The basement consists of bank vaults, storage and staff facilities.
"The building is in excellent condition and has been well maintained by Bank Of Ireland's dedicated Group Property management team."
The area around the property is said to benefit from Limerick City's highest levels of pedestrian and vehicular traffic.
This is regarded as having been further reinforced by the completion of major streetscape improvement works over the past ten years on both Bedfrod Row and near-by Thomas Street.
Ross Fogarty of Knight Frank handled the sale and Graham Farley of Farley Property represented the purchaser.