A partially let retail warehouse park in Balbriggan, Co Dublin, comes on the market today at a guide price of €1.2 million.
DTZ Sherry FitzGerald is selling the investment on the instructions of Duff & Phelps, which was appointed receivers by Bank of Ireland.
The selling agent estimates that it cost about €100 per sq ft to develop the warehouses, which can now be bought for €32 per sq ft. Included in the sale are five of the six individual buildings, extending to 3,460sq m (37,247sq ft). Three of these have been let at €4 to €6 per sq ft, while the other two are vacant. The current rent roll of €108,000 is due to increase to €120,000 by 2019.
The tenants in the three occupied buildings are Platinum Gym, DP Gymnastics and PJ’s Play Centre. There are 164 car parking spaces on the 1.17-hectare (2.89acre) campus, which occupies a prominent location on the road linking the M1 (Dublin-Belfast) motorway to Balbriggan town.
The €1.2 million guide price will give a new owner a net initial yield of 8.6 per cent after standard purchasing costs of 4.46 per cent are taken into account.
Johnny O’Connor of DTZ said he expects a high level of interest because of the management, lot size,location and potential for capital appreciation. The investment also had good rental growth prospects.
