Madison International​, Meyer Bergman invest in Irish retail property

Madison International Realty and Meyer Bergman have invested in Ireland’s retail sector in two separate deals.

The companies have bought a stake in a Dublin shopping centre and three Dublin high street assets, respectively.

Madison said it paid Irish Life Assurance €61m for a 35.4% stake in St Stephen’s Green shopping centre.

Irish Life is keeping a 37.6% holding in the 250,000 sqft shopping centre, with a private investor holding the balance.

Alex Lukesch, director of European investment at Madison, said: “The acquisition of St Stephen’s Green is illustrative not only of our confidence in the improving Dublin retail market but also in the potential to add value by working together with Irish Life in repositioning the centre.”

A fund advised by Meyer Bergman has agreed to pay Aviva Investors €90m for three high street buildings in central Dublin in a joint venture with BCP International Property Fund.

The mixed-use buildings, which provide 101,200 sqft of space, will change hands in the first quarter of 2016.

Meyer Bergman will own the majority share, with BCP Private Equity and BCP International Property Fund taking one-third of the project. 

Blake Loveless, a principal at Meyer Bergman, said: “Ireland offers some of the strongest growth prospects in the euro-zone, and this asset is superbly located in Dublin’s prime shopping district, with direct access to Grafton Street.

“We see plenty of asset management opportunities for the buildings, given the shortage of large retail units in the area and the considerable appeal of the Dawson Street address to office occupiers.”

Also in Dublin, Cairn Homes and Lone Star are jointly investing in a residential-land loan portfolio sold by RBS’s Ulster Bank.

The joint venture is paying €503m for the €2bn portfolio, which includes 31 residential development sites in and around the Irish capital.

The deal is expected to be completed by year-end.