Construction begins on Starwood-funded offices in Sandyford
‘Termini’ block will cover 20,625sq m with rents 50% lower than city centre offices
London-based Aldgate Developments has obtained finance from Starwood Capital to fund the development of its new 20,625sq m (222,000sq ft) office block named Termini on Arkle Road in Sandyford, where construction has begun.
When Aldgate acquired the site in 2016, it had existing planning permission for an office development. The developer subsequently sought planning permission last year to increase the efficiency and usability of the office space by revising internal layouts, along with implementing various improvements to the permitted building’s exterior.
The office block will feature large, rectangular floorplates of up to 3,715sq m (40,000sq ft) in size, with floor-to-ceiling glazing nearly 3m in height providing views across Dublin Bay. The offices feature shower and changing facilities, an on-site cafe with an outdoor seating area as well as generous car- and bicycle-parking provisions.
Lead contractor PJ Walls is due to complete the development next year, and joint agents Cushman & Wakefield and Knight Frank are seeking tenants for the development quoting rents from €323 per sq m (€30 per sq ft) – less than half the rate of new city-centre office space.
Aldgate says the block’s name, Termini, is derived from fact that the adjacent Sandyford Luas stop acts as a quasi-terminus for the Luas Green Line, with only around every third tram continuing beyond that point.
Nearby on the Leopardstown Road, at the entrance to Sandyford Business Park, Aldgate secured planning permission last month from An Bord Pleanála for a 37,150sq m (400,000sq ft) campus-style development named Leopardstown West. The 4.265-acre former FAAC Electronics site, which sold for over €20 million per acre in 2006, was acquired by Aldgate in 2016 for about €2.35 million per acre without planning permission.
The design of the new office development differs to the plans Aldgate proposed in early 2017, after the developer withdrew those plans and significantly redesigned its proposal. The permitted development, designed by Reddy Architecture, now comprises three separate buildings capable of being merged which are arranged around a central plaza and encircled by a 550-metre private running track.
The Sandyford area’s strong transport links, including the Luas, Aircoach, Dublin bus routes and proximity to the M50, have made it an attractive location for high-profile occupiers. Both AIB and Google have recently taken up major leases in the area, while Microsoft opened its new campus there last year.