Three city-centre multilet retail investments are fresh to the market this week with Savills guiding €3.5 million for the portfolio which is for sale by private treaty on behalf of receiver Kieran Wallace.
The investments are at locations off Parnell Street, Dublin 1, and Patrick and Dean Street, Dublin 8. Should the portfolio sell for the guide price the purchaser can secure a net initial yield of 10.39 per cent.
There are 11 retail units in the portfolio and 10 of these are subject to tenancies with a weighted average unexpired lease term of 6.4 years. The shops, one of which is vacant, offer 1,235sq m (13,296sq ft) of retail space and currently generate a rent roll of €380,014.
The Parnell Street units are in a prominent retail parade adjacent to the Ilac Centre. Their trading position is between the Parnell Street entrance to the Ilac and Penney’s department store.
Malik Stores Ltd, trading as Star Asia Foods, pays rent of €67,000 for 3 Parnell Street on a four-year and nine-month lease due to expire on March 25th, 2017. Ashglen Property Company is paying €78,000 for No 4 on a 24-year and 11-month lease which expires on May 5th, 2022. Roy Hogan Pharmacy pays rent of €82,000 for No 5 on a 25-year and two-month lease which expires on March 31st, 2023. La Cucina pays an abated rent of €34,000 on a 25-year lease due to expire on July 26th, 2023.
Three of the four units for sale at Ardilaun Court on Upper Clanbrassil Street/Patrick Street are let. No 2 is occupied by Krystal Cleaners on a nine-year and 11-month lease which is due to expire on March 1st, 2024 – the rent here is €12,000 per annum. P&K Cycles pays rent of €27,000 for Nos 3 & 4 on a 10-year lease due to expire on April 26th, 2020. And No 8 is occupied by the Coombe Pharmacy on a 25-year lease due to expire on October 31st, 2020 – the rent here is €26,014.
The four Dean Street units form a complete parade of shop fronts to the southern elevation of Dean Court at the intersection of Patrick Street and Kevin Street. Tenants include Effies in No 5 on a four-year and nine-month lease due to expire on January 29th, 2017. The beautician pays rent of €14,000. Annestte's Hairdressing occupies No 6 on a similar lease at a rent of €14,000 while No s 7 & 8 are taken by Danzante on a 20-year term due to expire on January 13th, 2035, for an annual rent of €24,000.
Daniel Blain of Savills says that, due to the range of lot sizes, the portfolio provides an "attractive opportunity for both domestic and international investors".
