Global real estate investor Kennedy Wilson (KW), alongside its joint venture partners, AXA Investment Managers – Real Assets (AXA IMRA), and Cain International, have acquired a commercial development site in Dublin for €113 mln from Ireland's bad bank, NAMA.
The plot, located in Dublin's North Docks, is understood to be one of the last mixed-use development sites available in the area. City Block 3 (CB3) totals 5.9 acres and will include the development of private rented sector housing (PRS) and office accommodation. Kennedy Wilson will act as the development and asset manager of the property.
'Our development plans for CB3 will bring the next visionary, city-centre, mixed-used campus to Dublin, following the ongoing success at our iconic Capital Dock development on the South Docks,' said Peter Collins, president of Kennedy Wilson Europe.
The acquisition was completed through two purchases from David Carson of Deloitte, acting as receiver on behalf of NAMA. KW’s ownership in CB3 is 50%, with an initial equity investment of €68 mln.
Planning permission in place
KW and AXA IMRA acquired the 3.6-acre residential component of the development site through their Irish PRS joint venture, with planning permission already in place. The scheme is close to the JV's existing projects at North Bank and Liffey Trust which, when combined with the potential new apartments at CB3, represent more than 650 units.
'This investment adds to our existing high quality Irish residential portfolio held in joint venture with Kennedy Wilson,' said John O’Driscoll, European head of transactions at AXA IMRA.
'The Irish economy remains one of the strongest performing in Europe and the residential real estate market is further underpinned by structural demographic changes. We are excited about the potential of the well-located City Block 3 site and view it as highly complementary to the other assets in the portfolio.'
Separately, KW and Cain International, through a 50/50 joint venture, acquired the adjoining 2.3-acre commercial component of the development site, with planning permission for over 300,000 ft2 of Grade A office space.
'We are very excited to partner with Kennedy Wilson on our first investment in Ireland,' added Richard Pilkington, managing principal at Cain International.
