Fairgreen Shopping Centre, Carlow
Dublin 14th August 2016 –Property advisors CBRE are to offer Fairgreen Shopping Centre in Carlow for sale by Private Treaty. Fairgreen Shopping Centre is the predominant retail offering in Carlow Town comprising 23,690 sq. m. (255,000 sq. ft.) of high quality retail accommodation. The scheme is 97% let and producing a rental income of approximately €2,715,000 per annum. The quoting price of €36 million represents a net initial yield of 7.2% and a capital value of €260 per sq. ft.
Fairgreen Shopping Centre has established itself as the dominant retail scheme in Carlow and the surrounding area. Since its construction in 2002, Fairgreen Shopping Centre has attracted key national and international retailers. The Shopping Centre is situated within the commercial heart of Carlow’s City Centre. Footfall in the scheme is approximately 100,000 per week and in excess of this over Christmas and Easter periods. Vehicular access to Fairgreen Shopping Centre is off both Barrack Street and Bridge Street. There are 762 car spaces on the site, which extends to 12.96 acres.
Phase I of the scheme consists of Fairgreen Shopping Centre. This is a predominantly single storey, L shaped shopping centre of 11,334 sq. m. (122,000 sq. ft.). Anchors Tesco and Heatons (held by way of long leasehold interests) are strategically positioned at either side of the scheme. The shopping centre is almost fully let with a strong line-up of tenants including Sam McCauleys Chemists, Easons, Vero Moda and Jack and Jones.
Phase II is fully occupied comprising 6 retail warehouse units with a total area of 6,488 sq. m (69,841 sq. ft.). Phase II has an exceptional tenant line up including River Island, Next, New Look, Argos, JD Sports and Costa Coffee. The first floor of Phase II is an 8 screen cinema, operated by IMC Cinema Group (held by way of long leasehold interest). The cinema, which boasts the largest screen in Ireland, acts as a significant draw to the scheme.
There is potential for a Phase III development, which would allow for the addition of 10,444 sq. m. (112,418 sq. ft.) of retail space, subject to planning permission. It is envisaged that this additional space will take the form of an extension of the existing Phase 1 and the replacement of the existing retail parade onto Barrack Street to form a new streetscape onto the main thoroughfare within the town centre. Phase III could allow for an additional 12 retail units, including a new anchor tenant and two sub anchors.
The top ten tenants account for 68% of the overall rental income and have a WAULT of 6.85 years. The scheme is considered rack rented and there are numerous opportunities for an incoming owner to implement asset management initiatives.
"We believe Fairgreen Shopping Centre is an exceptionally strong scheme and one of the best regional retail assets to be offered to the market in some time. The scheme is 97% occupied with an excellent tenant mix of national and international brands. There is obvious potential for asset management allowing the purchaser to increase the already strong rent roll and WAULT of the centre”
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), 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 2016 revenue). The company has more than 75,000 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.
In Ireland, with offices in Dublin and Belfast, CBRE is the country’s largest commercial real estate services company, now employing over 165 employees and offering a full range of property services including property sales and acquisitions, leasing and management, investment, corporate services, debt advisory, project management, consultancy, business rates and compulsory purchase, valuations and research. Please visit our website at www.cbre.ie or www.cbre.ie/ni.