Large D2 Georgian offices for EUR5.5 million

OfficeInvestment: Period offices beside Holles Street hospital come to the market in good condition and the entire space is let. Jack Fagan reports.

A Georgian office investment going for sale in Dublin today is twice as large as the average building of this period.

The Lisney agency is seeking over €5.5 million for 64 Lower Mount Street, Dublin 2, a price that would show an initial yield of 5.85 per cent before costs are deducted.

The four-storey over basement building is located beside Holles Street Hospital and was used as a convent for a long number of years. It has a floor area of 914.5 sq m (9,844 sq ft) and is producing a rent roll of €322,000 from five tenancies.The entire space is currently let, partially because of the superb condition of the building and its convenient location.

The tenants include McInnes Photography, Conference Plus and IDT Phonecards. There are two rent reviews outstanding with a further review due in August 2005 offering scope for an improvement in the rental income.

Lena Clarke of Lisney, who expects considerable interest in the investment, says that although significant funds are still being invested abroad, rising interest rates in the UK coupled with other risks inherent in investment in an unfamiliar market have resulted in a continuing strong demand from investors for product in Ireland.

"The Irish have an insatiable appetite for property which simply cannot be fulfilled in the Irish market alone," she said.

"This is certainly a great time to consider disposing of your property if you are thinking about doing so from the point of view that there are plenty of buyers. Lisney recorded a record number of enquiries for two investment properties that it recently marketed on the North Circular Road. This highlighted the underlying strength of the investment market in Dublin."