Blackstone has moved on majority interests in two trophy Dublin offices as seller Colony quits property.
Blackstone has agreed to buy fellow US investor Colony Capital’s 75% stake in Burlington Plaza in the capital’s CBD and Colony’s 72% stake in the headquarters of Three Ireland at Sir John Rogerson’s Quay in docklands.
Colony acquired the stakes in 2017 when it was the successful bidder for Nama’s €1.5 bn Project Tolka loan book. The buildings are said to be valued at €324 mln.
Blackstone has notified the Competition and Consumer Protection Commission of its intention to buy the interests, according to the The Irish Times.
Colony had appointed Eastdil Secured last year to sell the stakes along with other Irish property investments.
Los Angeles-based Colony, founded by Tom Barrack, has said it is moving out of traditional real estate in favour of digital infrastructure like data centres and phone masts.
Last May, the investment firm defaulted on $3.2 bn of debt secured on what was then about three-quarters of its portfolio, comprising 157 hotels and hospitality assets and 357 nursing home and healthcare properties.
In September it agreed to sell six hotel portfolios including 197 properties for $67.5 mln to US hospitality management firm Highgate - with Highgate assuming $2.7 bn of debt. Barrack has stepped back from the CEO role.
Other income-producing Dublin offices in which Colony still has stakes are Donnybrook House, 23 Shelbourne Road and Carrisbrook House.
