Dublin Landings Investment Sale
Dublin, 22 May 2018 - Following the successful sale of No. 1 Dublin Landings to German pension fund, Triuva, developers, Ballymore and Oxley, are to offer No. 2 Dublin Landings to the market.
The building, which is let to the global co-working operator, WeWork, will be marketed by CBRE and Knight Frank at a quoting price of €98.8 million.
The sale of No. 2 Dublin Landings gives investors the opportunity to acquire one of the finest office buildings in the city. The block, which is due for completion later this month, will be finished to the highest international standards and has achieved a shell & core LEED platinum and BER A3 rating.
The building, which adjoins No.1, is a spectacular 8-storey block providing over 9,245 sq.m of Grade A office accommodation and 23 car parking spaces. The building forms part of the Dublin Landings development, one of the most important regeneration projects undertaken in the city. The scheme, located in the heart of the city centre, provides for a comprehensive transformation of one of the largest remaining docklands sites. The development, which adjoins the recently completed Central Bank Headquarters and PWC building, will on completion extend to over 100,000 sq.m.
No. 2 Dublin Landings, which overlooks the new Central Square, will be finished to the highest specification including 4 pipe fan-coil air conditioning, a spectacular full height atrium with three panoramic 21 person lifts and fully fitted common areas. Staff facilities including bike storage, showers and changing rooms will be provided at basement level.
The building has been pre-let to WeWork on a 20 year lease with no break options. The initial rent, subject to final measurement, will be approximately €4.822 million, reflecting an average of €511.6 per sq.m (€47.53 per sq.ft) on the office accommodation. The lease provides a fixed increase at first review to €5.327 million.
The tenant, WeWork, is the world’s leading serviced office operator, providing a global network of workspaces with 220,000 members and 251,000 desks across 234 locations. The company, which attracted a $4.4bn investment from SoftBank in 2017, has a reported value of $20bn.
The Dublin Landings development will provide five separate office blocks in a high quality urban setting. In addition to No. 1 & 2, development of the remaining three blocks, providing a further 28,700 sq.m, are well underway and it is anticipated that these office will be available for occupation in 2019.
In addition to the offices and retail/restaurants, the development will include 298 high quality apartments, providing potential accommodation for the staff of businesses occupying the office space.
The quoting price of €98.8 million reflects an initial net return of 4.50%.
In terms of location, design and finishes the development offers an international quality product with the secure income flow under a long-term lease to WeWork. The sale is likely to attract interest from both overseas and local investment funds, with the scale of the transaction likely to attract new investors to the market.
Ballymore have teamed up with Oxley to create this new City Quarter. Ballymore have a reputation for delivering high quality, large-scale projects such as Snowhill in Birmingham, London City Island, Embassy Gardens and Royal Wharf (jointly with Oxley). Oxley specialises in the development of quality residential, commercial and industrial projects. Developments include Royal Wharf in London, Oxley Biz Hub in Singapore and KLCC (Oxley Tower), Kuala Lumpur.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2017 revenue). The company has more than 80,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
CBRE U.C., (CBRE Ireland) registered in Ireland, no. 316570. PSRA Licence No. 001528 is the country’s largest commercial real estate services company with offices in Dublin and Cork. Currently employing over 135 employees, we work with occupiers, investors and developers of office, industrial and logistic, retail, hotel and healthcare property, providing strategic advice and execution for property sales and leasing; tenant representation, corporate services; property and project management; appraisal and valuation; development services; investment management and debt advisory; business rates and compulsory purchase and research and consulting. Please visit our website at www.cbre.ie