Limerick offices and sites for €5.25m

A fully let office investment and two adjoining development sites with a tenant already lined up for one of the proposed buildings in the Limerick suburb of Ballysimon are likely to be of interest to developers, investors and funds when they are offered for sale by tender on May 14th.

Niall Guerin of Savills is guiding €5.25 million for the City East Plaza which is being sold on the instructions of Kieran Wallace of KPMG who was appointed receiver to Ralph Parkes' Regal View Holdings Ltd by Bank of Scotland (Ireland).

There are three elements to the sale, the main one a three-storey fully let building extending to 4,180 sq m (45,000 sq ft).

About 3,530 sq m (38,000 sq ft) are let to Northern Trust while the balance is rented by Plaza Express which operates a cafe on the ground floor.

The current rent of €367,000 will have stepped incremental increases up to 2018 when the rent will be €435,000.

The second element of the investment is a proposed new 5,109 sq m (55,000 sq ft) office building with a planning decision imminent and an agreement in place by Northern Trust to rent 50 per cent of the block on a 15-year lease with a break option in the 12th year.

Northern Trust has agreed a rent of €440,000 from practical completion date in August, 2016.

The third element of the sale involves a surplus of undeveloped lands of 4.9 acres which has one active planning for a car showroom and service building on a section of the site.

The entire site extends to 18 acres and is zoned for Employment and Enterprise under the Castletroy Local Area Plan.

Northern Trust has had a presence in Ireland since 1989. It opened its Dublin office in 2000 and now employs more than 500 people .

The first Limerick office was opened in 2006 and also has more than 500 employees. The company recently announced the creation of 300 further jobs in Limerick over the next three years.

Northern Trust is a leading provider of asset servicing, fund administration and banking solutions.