Joint developers Ballymore and Oxley have announced plans to sell No. 1 Dublin Landings, described as one of the Irish capital's most important regeneration projects, for a guide price of €150 mln.
The scheme, located in the heart of the city centre, provides for a comprehensive transformation of one of the largest remaining riverfront blocks. The development, which adjoins the recently completed Central Bank Headquarters and PWC building, will on completion extend to over 100,000 m2.
Ballymore and Oxley have hired CBRE and Knight Frank to manage the sale of the signature block in the development, No 1 Dublin Landings. The sale will be structured by way of a forward sale with the developers entering an agreement with the purchaser for the sale of the building on practical completion in the first quarter of 2018. The guide price for the completed building reflects an initial return of 4.5%.
No 1 Dublin Landings is a 10-storey building providing over 13,300 m2 of office accommodation and 44 car parking spaces.
The building has been fully pre-let to the National Treasury Management Agency, the State body which provides asset and liability management services to Government. The letting is for a term of 25 years from Practical Completion incorporating a tenant break option after 15 years. The rent is agreed at €50.00 per sq ft and €4,000 per car space. The total rent is estimated at €7.015 mln.
Dublin Landings will, on completion, include five separate office blocks. No. 2 Dublin Landings, which adjoins No.1, is an eight storey block providing over 8,900 m2 of office accommodation and 28 car parking spaces. The building, which fronts onto Central Square, is currently at an advanced stage of construction.
Substructure and basement works for the remaining three blocks, which will provide a further 28,700 m2, are currently well underway and are expected to be available for occupation by late 2019.
In addition to the offices and retail/restaurants, the development will include 298 apartments, providing accommodation for the staff of businesses occupying the office space.
'It is difficult to remember a core office investment opportunity offered to the market with its combination of quality tenant, building and lease terms,' said Johnny Horgan, executive director at CBRE. 'This opportunity is likely to appeal to investors already committed to the Irish market but also new core European and Asian Funds.'
Sean Mulryan, chairman & group CEO at Ballymore added: 'No. 1 Dublin Landings offers investors an opportunity to buy in at the early stages of the transformation of this part of the city centre, giving a real opportunity for growth, underwritten by a lease to the state.'
