Iveagh Collection sells for €33m as markets improve
A collection of four investment properties in the centre of Dublin has been sold for nearly 10pc above asking price, as markets continue to surge in the prime areas of Dublin.
CBRE had been advertising the "Iveagh Collection" at €30m, however the four office buildings have now been sold for just over €33m.
IPUT, Knight Frank Investment Managers and Davy Property bought the four properties.
IPUT are paying some €13m for 46 St Stephen's Green. The property extends to 14,160 sq ft on the junction of the green and Hume Street. Occupiers there include MCAP Europe, Apollo Aviation Management and Comgest. Those tenants among others are currently producing an annual rental income of some €532,075.
Knight Frank Investment Management are understood to have acquired Molesworth House and Verschoyle House for €4.6m and €7.4m respectively. This is their first foray into in Ireland. Molesworth House comprises a five-storey over basement, mixed use building extending to 9,264 sq ft.
The property is laid out to provide a dual fronted, retail unit on the ground floor together with four floors of office accommodation overhead accessed via a separate entrance on South Frederick Street. The ground floor currently trades as Therapie, a hair removal and skin care clinic, which has been trading at the location a decade.
The office accommodation overhead comprises a mixture of open plan and cellular offices. The property produces a current income of €244,390 per annum and has a weighted unexpired lease term of 5.3 years. The deal for this property represents a net initial yield in the region of 5.09pc.
Verschoyle House meanwhile was developed in 2001 and comprises a third generation office building of some 17,165 sq ft. This five storey over basement office building provides open plan modern office accommodation.
Occupiers include The Pensions Authority, BCK Accountants and Life Strategies Milman. The asset produces a rent of €782,440 per annum and has a weighted unexpired lease term of 2.26 years.
Elsewhere, Davy is understood to have forked out €7.9m for Pembroke House on the south side of Pembroke Street between Fitzwilliam Square and Leeson Street.
The property comprises five inter-connecting, four storey over basement Georgian office buildings, together with a five-storey extension to the rear. The building extends to a total net internal floor area of 21,500 sq ft together with 11 surface car spaces situated to the rear.
The property currently produces a rent roll of €500,000 per annum and has an unexpired lease term of 11.27 years. The property is let to Dublin Ireland Pembroke Street Ltd, a subsidiary of Regus. Davy Property bought the building for €7.9m, representing a net initial yield in the region of 6pc.
CBRE's Willie Norse, who brokered the sale said the sale "reinforces the demand in the market place from local and international investors for prime city centre offices in Dublin 2".