Wilton Shopping Centre leads €115m Hazel Portfolio
Joint agents Bannon and DTZ have launched a retail portfolio comprising the Wilton Shopping Centre in Cork along with two quality Retail Parks in Galway and Drogheda to the market.
The €115m 'Hazel Portfolio' is split in terms of value between the dominant suburban shopping centre in Cork and two Retail Parks.
The asking price equates to an immediate return of 7.47pc based on a net operational income of just under €9m with a portfolio weighted average unexpired lease term of 9.11 years.
The agents say all assets enjoy a low level of vacancy, strong tenants. The assets all have significant asset management or development opportunities.
The net operational income from the portfolio allows for a limited number of abatements, all-inclusive deals and landlord irrecoverables. The overall rent roll is derived from a total of 92 tenants from over 37,800 square meters of retail accommodation in three different locations.
The first of the two retail parks is Drogheda Retail Park. It comprises 13 retail warehouse units totalling over 214,000 sq ft. The passing rent is just over €2.5m per annum with a weighted average unexpired lease term of over 8.3 years. Also included in the sale is Unit 15 Newgrange Business Park which is let to Blackstone Motors at a rent of €120,000 per annum.
The second retail park in the portfolio is Gateway Retail Park located on the west side of Galway City.
The scheme is 100pc occupied producing over €1.4m per annum with a weighted average unexpired lease term of just under eight years.
Adjacent to the retail park is a 3.94 acre site which has full planning permission for a Phase 2 providing over 100,000 sq ft of accommodation. Unusually the majority of the existing Phase 1 and proposed Phase 2 benefit from open consent retail use.