Professional services firm KPMG has exchanged contracts with Hibernia Reit for the development of its new Irish headquarters at Harcourt Square in Dublin.
The firm, which employs more than 3,800 people in Dublin, will move to the 26,802sq m (288,500sq ft) development in 2026. KPMG will pay initial rent of €17 million per annum from lease commencement and will receive the equivalent of 40 months rent free through an incentive and enhanced fit-out, Hibernia said. The headline rent works out at €57.75 per sq ft with the net effective rent being just over €48 per sq ft.
KPMG also has options to lease up to a further 4,505sq m (48,500sq ft) on the same terms. The lease will have five-year rent reviews and the first one is subject to a cap and collar on the level of rent, Davy said in a note to investors.
KPMG managing partner Seamus Hand said it would be one of the biggest developments in Dublin city centre over the next few years.
“We are ambitious for, and confident in, the outlook for our business and our people collaborating and learning in our new office will have a critical part to play in that future success,” he said.
Hibernia Reit chief executive Kevin Nowlan said conclusion of the deal marked "a significant expression of confidence in the Dublin office market".