€5.1m to be paid for Aldi investment
A DUBLIN businessman is to pay €5.1 million for the Aldi retail property investment at Parnell Street in Dublin 1. The yield will be just over 7 per cent.
Savills had been quoting a guide price of €5.25 million for the outlet which was developed by South Dublin Construction and is being sold on behalf of receiver Kieran Wallace of KPMG.
Aldi is paying rent of €386,500 under a 25-year lease dating back to July 1998. The agreement provides for upward-only rent reviews every five years with the next due in 2013.
The store, the first to be opened in Ireland by Aldi, comprises several retail units which were combined to form a single supermarket with a floor area of 1,115sq m (12,000 sq ft).
Aldi is one of the largest retail chains in the world, with more than 7,000 stores throughout Europe, North America and Australia. There are 400 stores in the UK and Ireland, about 70 of them in Ireland. Aldi and the other German discounter Lidl are still expanding rapidly in Ireland and winning over an increasing number of shoppers because of their low prices.