Brewery Business Park to offer 14.55pc initial yield at guide price of €4.2m
Agents Cushman & Wakefield along with Sherry FitzGerald Carroll are guiding a price of €4.2m for Brewery Business Park in Dundalk.
Located approximately 2 km from Dundalk town centre, and a short distance from the existing operations of major international companies including Pay Pal, Heinz, Digiweb and Xerox, the property occupies the former site of one of the longest established breweries in Dundalk.
Macardle Moore Brewery, which commenced brewing on-site around 1863, was brought into the Guinness group around 1960. The brewery and packing site closed in 2000.
The site has since been redeveloped into a large business park with an extensive yard area, loading facilities and through roads which afford it easy access to the motorway and wider national road network.
Brewery Business Park extends to 8.09 hectares (20 acres), consisting of 57 industrial units comprising around 32,841 sq m (353,507 sq ft).
The current rent receivable is €663,200 per annum, with the anchor tenant accounting for approximately €300,000 per annum over around 135,000 sq ft. There is 145,000 sq ft of vacancy within the park, offering the potential to further enhance the rental income by €330,000 per annum. Based on its €4.2m guide price, the park will show an initial yield of 14.55pc before the remaining units have been let.
The entire 20-acre site is zoned 'Mixed/General Development/Proposal Site Use Area' under the Dundalk and Environs Development Plan.
The Brewery, which is located to the western boundary, is listed as a Protected Structure under the current County Development Plan.
A recent flood risk assessment report carried out by the OPW has declared parts of Dundalk and Co Louth as a risk area. The park itself flooded as recently as 2014, with every business affected. In order to rectify this problem, the Government is due to sign off on funding in order to improve its flood defences, with Dundalk in line to benefit by €40m. This funding is to be made available between 2018 and 2021.
Brendan Smyth and John Carrigan of Cushman & Wakefield and Brian Carroll of Sherry FitzGerald Carroll are handling the sale.