9 Jun 2015 07:00
9th June 2015
Development Securities acquires two investment assets in Dublin for €12.8 million
Development Securities today announces the acquisition of two retail investment assets, Nutgrove Retail Centre and Beacon South Quarter, in suburban Dublin for €12.8 million, a net initial yield of 6.72%. The properties have been acquired in a 50:50 joint venture with Clarendon Properties, an investment vehicle owned by Tony Leonard and Patrick McKillen.
Located in Rathfarnham, an established residential suburb of South Dublin, Nutgrove Retail Centre is a popular retail warehouse scheme comprising 45,000 sq. ft. of accommodation, with key tenants including Petworld and Home Store & More. The current occupancy rate stands at 80.7% with the opportunity to add value by letting the remaining vacant unit within the centre. The weighted unexpired lease term is 7.5 years.
Beacon South Quarter is a mixed-use development comprising retail, restaurant, residential and office space located in one of south Dublin's most affluent residential and commercial suburbs. The joint venture partners have acquired the long leasehold in respect of 8 self-contained retail units within the wider scheme, which are let to a number of national and local occupiers including BoConcept, Your Local Pharmacy and Roche Bobois. The occupancy rate across the 8 units is 86% and there are a number of asset management opportunities to improve the retail offer and tenant mix.
Matthew Weiner, Executive Director, Development Securities said: "This is the latest in a number of acquisitions that we have made in Dublin, an important market for us in which we see further opportunities for development, trading and investment activity. Both of the investment assets acquired today are well-located, established retail destinations that offer the potential to enhance value through proactive asset management. We are pleased to be in joint venture with experienced partners and together we look forward to improving the quality and experience of these retail locations."
Tony Leonard, Managing Director, Clarendon Properties said "We are delighted to be teaming up with an experienced and active development partner. With our local retail and office expertise, we anticipate that this will lead to further joint venture transactions in Ireland."
For further information, please contact:
Matthew Weiner/Lucy Grimble, Development Securities
020 7828 4777