Davy Real Estate Fund Seeks €26.5 Million for Prime Office Investment in Dublin

  • 📰 IrishTimes
  • ⏱ Reading Time:
  • 55 sec. here
  • 8 min. at publisher
  • 📊 Quality Score:
  • News: 46%
  • Publisher: 98%

Real Estate News

Davy Real Estate,Office Investment,Dublin

A fund managed by Davy Real Estate is looking to sell a prime office investment on Lower Hatch Street in Dublin city centre for €26.5 million. The property, known as '20 on Hatch', is currently leased to Medtronic and MetLife. The sale price represents a 34% drop from its 2018 valuation.

A fund managed by Davy Real Estate is seeking €26.5 million for a prime office investment - 20 on Hatch - on Lower Hatch Street in Dublin city centre.

While the sale of “20 on Hatch” at that level would provide a purchaser with a net initial yield of 8.07 per cent according to selling agent Savills, the figure represents a 34 per cent drop in the €40 million valuation the Davy Irish Property Fund ascribed to the building in 2018. The fund paid €27.5 million to secure ownership of 20 on Hatch in 2014.

MetLife is the majority occupier at the property with five floors taken up by its operations. In 2018, the company extended its existing lease term for 10 years, at an agreed rent in excess of €50 per square foot. 20 on Hatch serves as Metlife’s operational office headquarters for western and central Europe. The company expanded its Irish presence further in 2017 when it opened a Global Technology Campus in Galway.

The weighted average unexpired lease term is approximately three years according to Savills. The building has a C3 Ber rating at present, and as such, would require investment to bring its sustainability credentials up to the standards typically found in the latest generation of office buildings.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 3. in CA

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Investment in Irish commercial real estate slumps to post-crash lowReport by Sherry FitzGerald highlights dramatic fall-off in investment on back of higher interest interests
Source: IrishTimesBiz - 🏆 6. / 77 Read more »

Investment in commercial real estate plummets to lowest level since 2013Latest figures from BNP Paribas Real Estate show first-quarter spend came in at €161.7m, or just 15% of 10-year average
Source: IrishTimes - 🏆 3. / 98 Read more »