Iput in €50m deal for Dublin 15 landbank primed for industrial and logistics

Irish developer pays 43% premium to secure 118 acres next to M2 at Blanchardstown

Irish property developer Iput Real Estate is closing in on the purchase for more than €50 million of a major landholding near Blanchardstown in Dublin.

The company's acquisition of the 47.92 hectare (118.40 acre) Killamonan Business Park will bring its overall holding in the area surrounding the Cherryhound Interchange on the M2 to 73.83 hectares (182.44 acres).

The proposed deal comes less than one year on from its €25 million purchase of the adjacent M2 Airlink holding, comprising 22.26 hectares (55-acres) of zoned industrial land and 9.04 acres of greenbelt land.

Transaction

With demand among investors for well-located industrial and logistics opportunities in Dublin and the greater Dublin area running high, Iput unsurprisingly paid a significant premium to secure ownership of its new landbank.

In the case of Killamonan Business Park, the developer has agreed to pay €15 million or 43 per cent above the €35 million joint agents Cushman & Wakefield and Savills had been guiding when they brought the holding to the market last month.

Iput is understood to have been advised by CBRE on the transaction. The company’s acquisition of the adjacent Airlink holding meanwhile saw it pay €7 million or 39 per cent more than the €18 million Cushman & Wakefield had been seeking at the time.

While Iput is already advancing plans to develop four logistics units on the M2 Airlink lands which it will seek to let to large-scale retailers and distributors who are seeking to deal with supply-chain issues around Brexit and the growth of ecommerce, its plan for Killamonan Business Park remains unclear at this point.

Lands

The holding is currently undeveloped and is mainly in agricultural use. About 114 acres are located to the southeast of the M2, while two separate land parcels comprising about four acres are on the opposite side of the M2 link road.

There is an existing dwelling on part of the lands known as Killamonan House and Gardens, which extends to about 1.5 acres and also formed part of the sale.

The Killamonan site is zoned entirely for general employment use under the Fingal County Development Plan 2017-2023. The lands also have the benefit of the Cherryhound Local Area Plan 2017-2022) which provides a framework to facilitate their development. The site is located close to a number of major transportation links including Dublin Airport, the M50 and the Dublin Port Tunnel.