Distribution hub with tenant in place on the market for €6m
AN industrial site in west Dublin has been put up for sale with an asking price of €6m.
Allied Foods (Holdings) have retained William Harvey as agents for unit 18 at Park West Industrial Park on the Nangor Road in Dublin 12.
The property is a purpose-built temperature-controlled distribution facility extending to about 6,715 sqm (72,280 sq ft) on a 3.3 acre site.
The asking price of €6m reflects a net initial yield of 8.2pc.
The investment property has a tenant in place. Brake Bros Foodservice Ireland, which is unaffected, is on a 20-year lease from April 1, 2013 with break options in the tenant's favour at the expiration of the 10th or 15th year of the term, subject to nine months' written notice.
The next rent review is due on the April 1, 2018.
The annual rent is €515,000 (exclusive) and the lease is guaranteed by Brake Bros, a UK registered company.
The warehouse is laid out in three main compartments of ambient, chill and frozen space with a concrete frame externally and food grade insulated paneling as external walls.
There is a compressor room and plant room to the right side of the building and a maintenance garage to the left. The clear internal height of the three main compartments is 9.2m. Loading access is via 12 automated dock levellers.
There are three-storey quality offices and staff facilities to the front which are fully fitted throughout whilst the service yard areas are finished in concrete.
The site is fenced, gated and secure with an elaborate CCTV security system.
Harvey's managing director Philip Harvey said: "The lease is on a full repairing basis, subject to a schedule of condition.
"Our client upgraded certain aspects of the facility to include items such as installation of new dock levellers where required, upgrading of warehouse lighting to T5 standard and LED, refrigeration upgrade works and new racking installation.
"Importantly, the tenant is obliged to maintain, repair and keep in good order and condition all plant exclusive to the property," he added.
For rent review purposes, the property is to be assessed on the basis that it is a fully racked, temperature controlled distribution and ancillary office facility.
"This was a recent open market letting in which both parties were professionally represented. There are just less than nine years until the first break option with income guaranteed by an excellent quality covenant," Mr Harvey added.