Friday 6 December 2019

Hines seeks €160m for Cherrywood offices

Cherrywood business park
Cherrywood business park
Ronald Quinlan

Ronald Quinlan

US real estate giant Hines is understood to have appointed Eastdil Secured, a subsidiary of the Wells Fargo Bank, to manage the sale of five office blocks at Cherrywood Business Park for a sum in the region of €160m.

The proposed disposal of the properties represents the first major asset sale of 2017, and comes just over two years after Hines purchased the 400-acre Cherrywood Business Park in partnership with another American fund, King Street Capital, for over €270m.

By acquiring the 'Project Cherry' portfolio, Hines and its partners secured what has long been acknowledged as the biggest and most valuable development site in south county Dublin.

In doing so, they fended off bids from a number of consortia, three of which made it through to the final round of the sales process. The sale was carried out on the instructions of Stephen Tennant and Paul McCann of Grant Thornton who were acting as receivers on behalf of Nama, Danske Bank, Bank of Scotland (Ireland) and the AIB.

Former Treasury Holdings chief and founder of Ronan Group Real Estate (RGRE) Johnny Ronan bid with the backing of Colony Capital and Development Securities (since renamed U+I following its merger with Cathedral Group).

Developer Michael Cotter whose Park Developments has been heavily involved in the south Dublin market since the 1980s bid with Delancey and Brehon, while the third final under-bidder was Ardstone Capital and Davy Hickey Properties - best known for its development of Citywest Business Campus.

Hines declined to comment on its proposed sale of the five office blocks at Cherrywood.

Sunday Indo Business

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