A high profile residential and commercial investment in Dublin has been brought to the market by international real estate advisor Savills, instructed as sole agent, on behalf of the Dublin-based real estate private equity firm Brehon Capital Partners and Midwest Holding.
A high profile residential and commercial investment in Dublin has been brought to the market by international real estate advisor Savills, instructed as sole agent, on behalf of the Dublin-based real estate private equity firm Brehon Capital Partners and Midwest Holding. The Marker Residences, which is fully let, is being offered for sale at a guide price of €40 million, reflecting an approximate yield of 6.1%.
The prestigious residential development comprises 84 luxury apartments completed to exacting standard in addition to six fully occupied commercial units at ground floor level with car parking provision for 113 spaces at basement level. The building is strategically located in the heart of the vibrant South Docklands and adjacent to Grand Canal Square, presenting a highly appealing investment opportunity.
Brehon and Midwest acquired the residences and retail units in 2011 as part of the mixed-use complex that includes the award winning Marker Hotel, which is not part of this sale. The Marker Residences are integrated with the award winning 5-star luxury lifestyle hotel, offering residents the potential to avail of an exclusive membership to the Hotel’s luxury health spa which includes an infinity pool, sauna, steam room, treatment rooms and a gym.
Commenting on the sale Kevin McGillycuddy of Brehon Capital Partners says: “We bought this extraordinary development at a time when there was little appetite to invest in Irish residential property and we’ve brought it to life and woven it into the fabric of the Docklands community. Three years on we are very optimistic that there will be a high level of demand from both domestic and international investors looking to acquire a uniquely located asset with an attractive rental yield, high quality tenants and significant growth potential.”
The exclusive development contains 84 two-bedroom apartments laid out across nine building cores set over six storeys with only two apartments per floor. Rental levels for the apartments currently range between €1,900 - €2,400 per month, producing a gross rental income of approximately €2.1 million.
The six commercial units extend to a total area exceeding 13,559 sq ft (1,259 sq m) and currently produce an income of €275,000 per annum with an unexpired lease term of approximately 8.33 years. This income will exceed €350,000 per annum once stepped rent for Unit 4a is reached and lease terms for unit 4b, currently under negotiation, are finalised. The tenant mix is appealing and includes office and retail occupiers Lolly & Cooks, Smiles Dental Clinic, KBC bank, GSN Pharmacy and Hanover Medical. Overall the Marker Residences generates a current gross income of approximately €2.5 million per annum.
Fergus O’Farrell, investment director at Savills Ireland, comments: “This is one of the most exciting multifamily sales Savills has brought to the market. Given the prime location, 100% occupancy throughout the development and the size and quantum of high-end luxurious multifamily units on offer, it is anticipated that there will be unprecedented levels of interest in the property. The Marker Residences present an opportunity to become part of Grand Canal Square, Dublin’s most salubrious address.”
Dublin’s South Docklands has undergone substantial redevelopment and become the city’s most appealing urban quarter featuring modern offices, theatres, hotels and high quality residential apartments and a host of retail, bar and restaurant offerings. The area is also credited with becoming an attraction for its innovative architecture. The South Docklands is also Dublin’s burgeoning business community, chosen by global tech giants such as Google, Facebook and LinkedIn. This area is also the capital’s new legal quarter and home to the majority of the cities leading law firms and adjacent to the IFSC, Dublin’s established financial services district.
Other significant landmarks within walking distance include the Dublin Convention Centre, The O2 Arena, Aviva Stadium and Croke Park, the historic birthplace of Gaelic Games, as well as the main shopping area of Grafton Street.