Savills mandated to sell part of Dublin business park

Receivers KPMG have appoinsted Savills to sell the C & D blocks in the Parkgate business centre in Dublin’s city centre.

The guide price of €9.5 mln represents a net initial yield of 12.82% after standard purchaser’s costs, and the capital value of the building at €2,884 per m2 is significantly below replacement cost.

Blocks C & D are both fully-let office buildings with future asset management opportunities extending to a total 3,298 m2 of modern office space with 38 car parking spaces. Both blocks benefit from government state agency backed income, with Block C single let to the Rail Procurement Agency (RPA) and Block D single let to the Health Service Executive (HSE).

Parkgate is located only 300 mln from Hueston station, one of Ireland’s main railway stations.

Carol Cavanagh of Savills' investment team in Ireland said she expects 'considerable' Irish and overseas interest in the asset in the coming weeks. 'We are pleased to offer this high-yielding office investment to the market,' she added.

Separately, Savills has announced the sale of the 247-room Clarion hotel at Dublin airport to the Dublin Airport Authority (DAA). The four-star hotel was marketed at a guide price of €10 mln. Savills sold the hotel on behalf of receivers KPMG and landlord National Asset Management Agency.