McDonald's building on the market for €1.15m
AN investment property occupied by a McDonald's drive-thru restaurant in Longford is being offered for sale with a price tag believed to be in the order of €1.15m.
It is let to McDonald's Restaurants of Ireland under the terms of a 25-year lease from December 2001 subject to an annual rent of €90,000 a year. According to CBRE, if it were to sell for the estimated price, the investment could generate a net initial yield in the order of 7.5pc.
Situated in a high-profile location overlooking the N4 national primary road which connects Dublin with Mullingar, Longford and Sligo, the property forms part of the N4 Axis Retail Park where there is ample parking and which is anchored by Homebase, and includes other retailers such as Halfords, Argos and Elverys Sports.
The stand-alone building comprises a single-storey restaurant built in 2001 and extending to 290sqm in total on a site which extends to 0.26 acres (0.105 Ha). The restaurant comes with a seating area, kitchen food preparation area and toilet facilities.
McDonald's originally opened its first store in Ireland in 1977 on Grafton Street, and since then have grown the business to more than 81 stores nationwide. In 2011, the group reported an overall turnover of €77m and a profit of €11m.
Natalie Brennan of selling agents CBRE is anticipating a strong level of interest in the building from a number of local and international investors.
"In Q1 2013, there has been over €336m spent on the purchase of Irish investment properties which substantiates the continued growing demand from investors in the market place for good quality investment properties," she said.