Google snaps up Dublin's landmark Montevetro development
Published 17/02/2011 | 11:23
Google has bought Dublin's tallest commercial office building for almost €100m in cash.
The global internet search engine firm snapped up the landmark 15-storey Montevetro development, which had been on the books of the State's bad bank.
The National Asset Management Agency (Nama) would not disclose the profit it made on the deal, but confirmed it recovered in excess of the combined amount of the money paid to acquire the loan and additional funding spent to complete the building, at Grand Canal Dock.
Chairman Frank Daly said the successful completion and sale of Montevetro reflected the positive potential of Nama to support the commercial property market in Ireland.
He said: "Nama played an intrinsic part in brokering the deal between purchaser and seller and in putting this deal together.
"I believe the sale of a building of the size of 210,000 sq ft will be seen as a very positive sign for the future of the Irish commercial property market."
Construction work on the landmark building started in March 2008 but the finance for the project has been overseen by Nama since last April.
It was developed by Real Estate Opportunities (REO), the property investment and development group, and reaches 67 metres high.
The €99.9m sale of Montevetro to Google was agreed after year-long discussions between the multinational and REO's investment adviser, Treasury Holdings.
Completion of the transaction is expected soon.
John Herlihy, head of Google in Ireland, said the firm now has the space and flexibility to support future operations at its EMEA headquarters.
"The majority of the team in Dublin help businesses across Europe, the Middle East and Africa to take advantage of the internet," he said.
"It's already a big part of the way Europe does business but there's still a long way to go."
REO chairman Ray Horney said the transaction is one of the largest sales of commercial property in Ireland in several years.
He said: "The company believes it has achieved a very good price in the current market environment.
"Google is an iconic name globally and its decision to buy Montevetro is good news for Ireland and we wish them every success in their new home."
REO also announced the international oil and gas exploration company, Tullow Oil plc, plans to lease 48,000 sq ft in the Central Park development in Leopardstown, Dublin.