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ONE GRAND PARADE ALEXANDRA HOUSE, THE SWEEPSTAKES 86-88 LEESON STREET LOWER DUBLIN CONTENTS The Opportunity 03 Proposal 03 Why Dublin for Occupiers? 04 Why Dublin for Investors? 06 One Grand Parade, Dublin 6 08 Alexandra House, Dublin 4 20 86-88 Leeson Street Lower, Dublin 2 32 Further Information 42 Contacts 42 THE OPPORTUNITY Tara Collection offers an unrivalled opportunity for investors to gain exposure to the strongly growing Dublin CBD offce market. This market is experiencing strong occupier demand and reducing vacancy levels. It is projected to have the best growth in Europe for the next fve years. The Tara Collection provides core rental income with value add opportunities through new lettings, re-gearing lettings, refurbishment and redevelopment. The following properties make up the “Collection”. n 4 & 5 Grand Canal Square, Dublin 2 – designed by n Alexandra House, The Sweepstakes, Ballsbridge, renowned international architect Daniel Libeskind, Dublin 4 – detached 6 storey offce building extending these are quite simply the best offce buildings in to 5,195.50 sq m (55,923 sq ft) in a highly prestigious Dublin. Extending to approximately 23,274 sq m location. Producing €818,500 per annum, there is an (250,522 sq ft) and producing €10.5m per annum opportunity to signifcantly increase value by letting these buildings are let to Facebook under two separate the remaining 3 floors or alternatively refurbishing leases and are Facebook’s new EMEA headquarters. the building prior to re-letting to maximise achievable (Please note there is a separate brochure for this rents. property) n 86-88 Leeson Street Lower, Dublin 2 – this modern n One Grand Parade, Dublin 6 – a high quality modern property which sits behind a new Georgian façade offce building overlooking the Grand Canal in Dublin’s currently extends to 1,535.60 sq m (16,529 sq ft) city centre on the fringe of Dublin 2. This is a multi- with short term income to 2016. The property is in let offce building of 2,929.60 sq m (31,534 sq ft) the absolute prime CBD offce area. There is planning producing €759,474 per annum with one floor vacant. permission to extend the building to approximately There is an opportunity to improve returns with this 2,166 sq m (23,315 sq ft) to provide floor plates of property by letting the vacant ground floor space as between 333 - 441 sq ft (3,584 - 4,747 sq ft) and well as capitalising on rental uplift at rent reviews / improve the overall quality of the space. renewals. PROPOSAL The properties are for sale by Private Treaty. We are marketing the properties for sale individually; however we will also accept bids on the basis of a single portfolio sale. No warranties or guarantees in any respect, including but not limited to VAT, can be given. The Vendors are not bound to accept the highest or indeed any offer and are acting without personal liability. For details of the guide prices please contact Joint Agents JLL and CBRE. For the avoidance of doubt, please note that this is an investment sale, therefore all tenants are unaffected. 03 WHY DUBLIN FOR OCCUPIERS? Ireland has one of the fastest growing economies in Europe. Dublin has evolved into one of Europe’s top tech hubs. In Following a period of decisive corrective action, the country addition to companies such as Amazon, Paypal, E-Bay, has a forecast GNP growth of 5% in 2014 and 2015 (ESRI). Yahoo, AOL and Dropbox, Dublin city centre is the European Inward investment to Ireland has continued unabated Headquarters for: throughout the last 10 years and Ireland is now the chosen European base of over 1,150 international companies. It is home to: n 9 of the Top 10 ICT companies in the world n 8 of the Top 10 pharmaceutical companies n 15 of the Top 20 global medical technology companies n 9 of the Top 10 global software companies, and n 3 of the leading global security software companies Occupiers are drawn to Ireland by the highly educated workforce – Ireland has a higher proportion of 15-34 years These companies act as magnets to each other and to olds with third-level qualifcations (48%) which is higher similar businesses, creating a virtuous circle which attracts than the UK, the US or OECD. The country is native English a national and international skilled workforce. Each of these speaking, in the same time zone as London and a member of large organisations has expanded exponentially since setting the Euro. up in Dublin’s city centre: Dublin is a truly European capital city. With a population n Google has spent over €280m on property since of 1.3 million people, 53% are under 35 years old and opening in 2003 and now occupies over 60,000 sq m the city is growing faster than most European cities (the (646,000 sq ft) employing over 2,500 staff. population increased by +7.2% between 2006 and 2011) . n LinkedIn has just announced the purchase of a new Dublin is a vibrant city with access to music, theatre, culture offce site to allow it double its capacity in Dublin. and sporting events, which along with its renowned bars, restaurants and nightlife generate a real buzz in the city. n Twitter is in the process of acquiring a new 17,000 sq m (183,000 sq ft) European Headquarters building. Dublin has a diverse high quality transport network with n Facebook has just acquired its second building, doubling trams, railway, bus, city bikes and a number of on going their size to over 23,225 sq m (250,000 sq ft). government-led regeneration and transport improvements underway across the city. 04 WHY DUBLIN FOR INVESTORS? IRISH PROPERTY INDEX OFFICE CAPITAL VALUES 1400 Dublin has one of the best real estate recovery stories in Europe. The market bottomed in 2012, and since then 1200 Dublin property markets are in the second phase of 1000 recovery, with stabilised growth across all sectors driving market activity. 800 Index 600 The volume of direct commercial property investment 400 activity has now returned to levels ahead of the peak, with 2014 forecast to be around €4.00 billion ($5.44 billion). 200 Investor demand is broad across all asset classes, with 0 recent sales in offces, retail, industrial, hotels and bars. 1 1 In terms of geography, Dublin is the dominant market in Q1 Q1 98 Q1 99 Q1 00 Q1 01 Q1 02 Q1 03 Q1 04 Q1 05 Q1 06 Q1 07 Q1 08 Q1 09 Q1 10 Q1 12 Q1 13 Q1 14 Ireland. Compared to other cities across Europe, prime Dublin offce yields continue to offer strong returns ahead of similar In the next 5 years, Dublin prime offce rental growth is stable markets, and are supported by a strong rental growth forecast to be the strongest performer across Europe. Prime pattern. Dublin is an established international market with rents have grown by more than 25% in 2013 and 20% up to approximately 65% of investor demand from overseas. Q3 2014, due in part to an over correction in 2008-2012 and Capital values, while growing, are still well below the 2007 to a strong demand for high quality centrally located offce peak. space. JLL and CBRE forecast Dublin offce rental growth to be between 7.4% and 8.1% per annum for the next fve years. This is in contrast to average annual growth of 3% per annum in the Eurozone. 06 EUROPEAN CITIES PRIME FORECAST AVERAGE Behind this strong forecast growth is a low supply of prime ANNUAL OFFICE RENTAL GROWTH 2014 - 2018 offces. Construction activity ceased in the period 2011- 2013. Long-term annual average offce take-up in Dublin DUBLIN is approximately 170,000 sq m (1.8 m sq ft) per annum MADRID LONDON - CITY which is considerably higher than the volumes of leasing LONDON - WEST END activity achieved in similar sized cities in the UK regions OSLO and elsewhere in Europe as a result of its dominance in PARIS - CBD attracting foreign direct investment. The relative strength STOCKHOLM of the underlying occupier market and the critical shortage MILAN MUNICH of modern offce accommodation in the Dublin 2/4 district PRAGUE (which typically accounts for just less than 50% of overall MOSCOW offce take-up in the city every year) is one of the key LISBON attractions for investors in the Dublin offce sector. BUDAPEST WARSAW BUCHAREST AMSTERDAM DUBLIN OFFICE TAKE-UP & CONSTRUCTION LEVELS COPENHAGEN 400,000 BRUSSELS ROME 350,000 LUXEMBOURG 300,000 EUROPE 250,000 0% 2% 4% 6% 8% SQ M 200,000 150,000 100,000 50,000 0 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 (f) Take-up Under Construction 07 THE OPPORTUNITY n Prominent Grade A multi-let offce building n High profle accessible location overlooking the Grand Canal n Multi-let to the Kuwaiti Embassy, Zendesk and Oasis Global Management n Passing rent of €759,474 per annum on expiry of rent frees and opportunity to increase income through letting of vacant floor 09 One Grand Parade is on the fringe of Dublin 2 in an already established offce location GOVERNMENT IRISH LIFE & BORD GÂIS BUILDINGS PERMANENT ENERGY THEATRE DUBLIN 6 OFFICE MARKET One Grand Parade is in the best offce location in Dublin 6 beside the Charlemont LUAS Station and overlooking the Grand Canal. One Grand Parade is located on the fringes of the well established Dublin 2 offce area which has experienced strong rental growth.