Overseas investor snaps up €18m apartment portfolio
The growth of Ireland's Private Rented Sector (PRS) shows no sign of slowing down following the sale of a portfolio of 54 apartments in South Dublin for around €18.25m.
The Irish Independent understands the sale of the Hazelbrook Square homes in Churchtown was completed by selling agent Cushman & Wakefield on behalf of Nama-appointed receivers Mazars shortly before Christmas and that commercial real estate advisers TWM acted for the purchaser - an overseas investor.
The portfolio of 22 one-bedroom apartments, 28 two-bedroom apartments and four three-bedrooms, was brought to the market last June for a guide price of €16m. While the units are currently delivering a combined annual rental income of €896,000, the selling agent estimated at the time of the sale that this figure could be increased to €1.18m on the basis of rents of €1,550 a month for one-beds, €1,950 for two-beds, and €2,400 for three-beds.
Based on the portfolio's selling price of €18.25m, the purchaser paid an average of €337,963 per unit.
The Hazelbrook Square portfolio is distributed across three blocks within a scheme comprising some 97 apartments alongside 69 houses. A further 27 houses are due to be built in the next phase.
The rapid rise of Dublin's PRS and Build-to-Rent market was further evidenced only yesterday with the Irish Independent reporting that the Cosgrave Group has entered into negotiations with an as-yet unidentified investor in relation to the sale of 214 apartments they are developing at the Fairways, in Cualanor, Dun Laoghaire.
It is understood the portfolio attracted several offers in excess of €100m from up to six competing parties, having been offered for sale last November by selling agent Hooke & MacDonald at a guide price of €95m.
And earlier this week, Singapore-listed developer Oxley confirmed it had agreed to sell the 268 luxury apartments it is delivering in partnership with Sean Mulryan's Ballymore at Dublin Landings to the US-headquartered property giant Greystar for €175.5m.
The sale of the 'Dublin Landings Residential' portfolio, the details of which this newspaper exclusively revealed last Thursday, has been targeted for completion on February 27 next.
The 268 units at Ballymore's 'Dublin Landings Residential' will comprise 82 one-bed, 146 two-bed, and 31 three-bed apartments, in addition to nine three-bed duplexes.
The scheme, the first phase of which is due to be completed in September 2019, will include numerous on-site resident amenities including a concierge service, landscaped gardens, a private gym, business lounges and 210 basement parking spaces.
The Dublin Landings waterfront regeneration project is set to extend to 100,000 sq m (1,076,391 sq ft) of office, residential and retail/leisure accommodation, of which 22,019 sq m (237,000 sq ft) will be residential accommodation.