Boyne Tower, a high-profile modern office building in Drogheda, Co Louth, comes to the market with the potential to more than double the current yield – to a very attractive 13.5 per cent – once the building is fully let. QRE Real Estate Advisers is guiding a price of more than €1.35 million for the property.
The landmark, five-storey over basement building, faces the river Boyne in central Drogheda. It lies about 2.5km from junctions 9 and 10 on the M1 motorway and about 25 minutes from Dublin Airport. Drogheda train station is within a 10 minutes’ walk, while a train journey to Dublin will take 40 minutes.
The building is partially let to Outsource Support and IT Governance, with a mast let to Three Ireland, at a total passing rent of €87,340 a year.
The key opportunity would be to increase the rental income to more than €200,000, through letting of the remaining 1,098sq m (11,819 sq ft) of vacant office and retail space.
Stephen Mellon, of selling agent QRE Real Estate Advisers, said the guide price represents an attractive capital value of just €57.50 per sq ft. He said the property represents a genuine “asset management opportunity”, with the potential to generate an extremely good yield of about 13.5 per cent, on leasing of the vacant space.
Mr Mellon said the property is expected to be of interest to high net-worth individuals seeking immediate income along with strong reversionary returns or companies seeking business space in a location that is just 25 minutes north of Dublin Airport.
“In addition to this, the building represents an opportunity to purchase significantly below replacement cost, which is expected to attract opportunistic investors,” he said.
Accommodation space in Boyne Tower extends to some 2,183sq m (about 23,498sq ft) with a top-class fit-out. Two retail units on the ground floor are presented in shell and core specification.
The shell and core units offer flexible open-plan floor plates with floor-to-ceiling heights of about 2.8m (9.1ft), allowing new owners or tenants to create a unique specification with floor-to-ceiling glazing offering views of the river. Specification includes LED lighting and air conditioning. The property also features a six-person lift.
The historic town benefits from a wide variety of amenities, including Drogheda Town Centre shopping centre, St Dominic’s Park and Drogheda Museum. Restaurant and hospitality offerings include the D Hotel, the Boyne Valley Hotel and Country Club and Scholars Townhouse Hotel.