The prime-location lots are held on long leasehold interests from the local council
Commercial agent TWM has brought a multi-let office investment opportunity at Lots 1 and 2 at Sandyford Business Centre in south Dublin to market, guiding in excess of €8.6 million for Lot 1 and in excess of €6.5 million for Lot 2.
The lots are held on long leasehold interests from the local council. There are eight office blocks in total. Units 2, 5a/5b, 7 and 8 were sold on long leases (of some 235 years) and this interest is not included in the sale.
The leasehold interest and management of the centre are held by owners of Lot 1 & 2; they are included in the sale and extend to five acres. The total current rental income included in the sale from office blocks 1, 3, 4, 5c and 6 is €1,192,578 per annum, with a secure income WAULT to lease expiry of about 5.8 years and with breaks at 4.6 years.
Recent lettings show the market rental level of about €23 per square foot (about 248 per square metre), and €1,000 per car space. The owner of the sites can manage and grow the rental income through relettings, rent reviews and letting of vacant car spaces. There is also an opportunity to refurbish and enhance the energy efficiency of the buildings and the sustainable profile of the centre.
There are many long-term business tenants on site including Medlab Pathology, Arkphire Ireland and Imagine Network Services. The office space is 100 per cent let. The location has convenient access to the road network and public transport, with the Sandyford Luas stop a few minutes’ walk from the centre.
The land is Zoned Objective OE, which is to provide for office and enterprise development.
TWM is seeking individual offers for each lot. At the guide price, a buyer acquiring both investments would have a net initial yield of 7.18 per cent (assuming standard purchaser costs of 9.96 per cent) and an underlying capital value of €309 per square foot inclusive of the 200 car spaces.
For more details, contact Michele Jackson or Patricia Ward of TWM at 01-6766566.