Sarah Winters of agent TWM is quoting a price in excess of €1.6m for Unit 217 at Eyre Square Shopping Centre in Galway.
The property, which is fully-let to Vera Moda (Galway) Limited with a parent company guarantee in place from Bestseller Wholesale AS, is delivering annual rental income of €151,700 and has over eight years left to run on an original 35-year lease, which commenced in May 1991. The lease also comes with the benefit of upward-only rent reviews.
Ms Winters expects good interest from a wide variety of potential purchasers due to the excellent tenant covenant and strong rental income.
The quality of the investment is further underpinned, she says, by the location of the Eyre Square Shopping Centre within Galway city centre and upward-only rent provisions attaching to the unit itself.
Based on the subject property’s quoting price of €1.6m, the potential purchaser can expect to secure a net initial yield of 8.74pc (assuming standard purchaser’s costs of 8.46pc).
Eyre Square Shopping Centre comprises over 70 shop units with a mix of local, national and multi-national retailers including Penneys, New Look, JD Sports, Mothercare, Specsavers and Dunnes Stores.
Recently refurbished, it is laid out over two floors and links with Corbett Court to the north and Edward Square to the East. Additionally, it has direct access to 450 car parking spaces in the adjacent Eyre Square Car Park.
The subject property occupies a prominent position on the second floor of the centre and extends to 140.93 sq m (1,517 sq ft), which is laid out to provide predominantly retailing floorspace with some office and storage accommodation to the rear.
Vero Moda’s parent company, Bestseller, was founded in 1975 and today has more than 1,600 shops in 27 countries, employing approximately 12,000 people. Bestseller’s products are sold in Europe, the Middle East and China.