Business

Davy sells its real estate arm to division’s chief executive David Goddard

Entity manages St Stephen’s Green Shopping Centre on behalf of clients

Davy's real estate unit secured planning permission for a €100 million redevelopment of the landmark retail asset from Dublin City Council late last year but a final decision has been delayed pending the outcome of an appeal to An Bord Pleanála.
Davy's real estate unit secured planning permission for a €100 million redevelopment of the landmark retail asset from Dublin City Council late last year but a final decision has been delayed pending the outcome of an appeal to An Bord Pleanála.
Ian Curran
Tue Nov 05 2024 - 13:55

The property investment management arm of Davy Group is set to be sold to the unit’s chief executive for an undisclosed sum along with its €1.6 billion portfolio of assets, including Dublin’s St Stephen’s Green Shopping Centre.

The transaction, which was announced on Tuesday, will see David Goddard, chief executive of Davy Real Estate, acquire the unit and operate it as a separate entity, trading as Lanthorn.

Some 16 staff are set to move from Davy to Lanthorn as part of the deal, as the group refocuses on its core capital markets advisory and wealth management businesses.

The deal is expected to conclude in November.

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Among other assets, Davy Real Estate currently manages the St Stephen’s Green Shopping Centre on behalf of clients. Many of the unit’s clients are also clients of Davy other businesses, including its wealth management division.

The Davy unit secured planning permission for a €100 million redevelopment of the landmark retail asset from Dublin City Council late last year but a final decision has been delayed pending the outcome of an appeal to An Bord Pleanála, following a number of objections.

Headquartered in Dublin, Davy Group has offices in Belfast, Cork, Galway, and London.

The group is owned by Bank of Ireland, which acquired Davy in July 2021. The original total consideration for the firm was a potential €605 million, made up of a purchase price of €440 million, a payment of €40 million to be made some time after 2025 based on certain performance targets, and €125 million to account for a significant amount of cash on the company’s balance sheet.

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Ian Curran

Ian Curran

Ian Curran is a Business reporter with The Irish Times

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