High-profile Maynooth investment sells for €1.4m – 16% above guide

Irish private investor in line for 5.82 net initial yield on Desmond House

Desmond House occupies a prominent location on Main Street in Maynooth, Co Kildare. Photograph: John Lyttle

Desmond House occupies a prominent location on Main Street in Maynooth, Co Kildare. Photograph: John Lyttle

 

A high-profile mixed-use investment in the university town of Maynooth, Co Kildare, has been sold for €1.4 million by joint agents Sherry FitzGerald Brady O’Flaherty and Cushman & Wakefield. The price paid for Desmond House represents a premium of just over 16 per cent on the €1.2 million the selling agents had been guiding when they brought the property to the market.

Located on Main Street in Maynooth, Desmond House comprises a two-storey commercial premises which is occupied at ground-floor level by Picaderos Restaurant under a 10-year lease from September 5th, 2011 paying €45,000 per annum.

The first floor, which has a separate access from Main Street, is currently occupied by two office tenants producing a combined net income of €21,600 per annum.

Vacant

The sale of the property to a private Irish investor also included a two-storey mid-terrace residential dwelling consisting of three one-bedroom apartments fronting Proud Lane, to the rear of Desmond House. Two of the apartments are let on short-term residential tenancies generating an income of €21,900 per annum while the third apartment is currently vacant.

The final sale price reflects a net initial yield of 5.82 per cent and a capital value of €344 per sq ft.

Mark Fitzpatrick of Cushman & Wakefield said: “The attractive lot size and high-profile nature of the property saw strong investor interest which ultimately resulted in a premium price being achieved.”