Tuesday 12 November 2019

Residential portfolio offered with 9.2pc gross return potential at €4.35m price

16 of the units bring in €220,300 a year

Investment opportunity: Primrose Gate, in Celbridge, Co Kildare, compromises 15 two-bedroom apartments, 10 three-bedroom duplex units and two three-bedroom semi-detached houses
Investment opportunity: Primrose Gate, in Celbridge, Co Kildare, compromises 15 two-bedroom apartments, 10 three-bedroom duplex units and two three-bedroom semi-detached houses
Interior, Primrose Gate, Celbridge, Co Kildare
Donal Buckley

Donal Buckley

A partly let portfolio of 27 residential units at Primrose Gate, Celbridge, Co Kildare, is being offered for sale with a €4.35m guide price. As many as 16 of the units are occupied and generate total current rent of €222,300 per annum.

Ross Fogarty of selling agent Knight Frank is handling the sale on behalf of RSM business consultants and he says that when the 11 vacant units are let, it has potential to generate about €400,000 in gross rental income per annum. That would represent 9.2pc gross return at the guide price.

The investment opportunity comprises 15 two-bedroom apartments, 10 three-bedroom duplex units and two three-bedroom semi-detached houses and they are dispersed in an estate which includes a number of houses and duplexes.

"At €175 per square foot (the portfolio) represents exceptional value as it is below the build/replacement costs of these units and also below the prices that would be attained if they were sold individually," Mr Fogarty said.

He expects the portfolio to appeal to private rented sector investors.

"This property enables buyers to acquire an investment of scale with a value add element in the strongly performing residential sector. Strong demand is anticipated from both local and international investors," he added.

Primrose Gate is one of the best located residential developments in Celbridge, an attractive commuter town on the banks of the River Liffey, which is about 20km west of Dublin city centre.

Situated off Skinkeen Road and the R405, the estate is within easy walking distance of the town centre and under 1.5km from the Hazelhatch/Celbridge train station offering direct routes into Dublin city centre.

Developer Barina based its plans for the estate on the Essex Design Guide incorporating a mix of two and three-bedroom apartments, as well as three, four and five-bedroom family houses and a commercial area of shops, medical use and crèche.

The nearby town of Leixlip is home to the Intel headquarters, currently employing over 4,500 people and with plans to expand and upgrade their facility with an investment of €7bn and providing 1,600 new jobs.

As part of the expansion plan for the facility, Intel intends to start a shuttle bus service to and from Celbridge town centre.

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