A SEVEN-YEAR OLD office block in Tallaght town centre, occupied by two Government agencies, is to be offered for sale today at a net yield of 11 per cent.
Agent HT Meagher O’Reilly is seeking offers over €5 million for the investment which is being sold by Declan McDonald of PwC who is receiver to Breydon Developments, a company linked to businessman Bernard McNamara.
The four-storey block forms part of The Exchange, a mixed use scheme on Belgard Road North, close to the entrance of Tallaght Hospital and the County Hall.
The 3,251sq m (35,000sq ft) block is let to two State covenants on separate, upward-only leases and it has a rent of €592,251 a year.
Two of the leases run concurrently and are held by the Commission for Energy Regulation which occupies four floors. Both leases run for a term of 25 years from 2006 with break options in 2016. Two further floors are held by the OPW on a 20-year lease from 2004. There is a break option in 2014.
Head of investments at HT Meagher O’Reilly Adrian Trueick says that while investment market transactions are few and far between there remains a considerable number of investors, both domestic and foreign, who are closely watching and ready to invest where the risk and return are at palatable levels.
