Today's other property news in brief
Steep fall in new office space
Commercial agent HWBC is suggesting that the number of new speculative office schemes will slow dramatically in Dublin this year. As a result, the level of new completions will continue to drop for the next three or four years.
The agency says that this will eventually lead to a more balanced market between supply and demand, and should begin to positively affect vacancy rates from 2010 onwards.
HWBC estimates that office vacancy levels now stand at over 515,000sq m (5.543 million sq ft), up from 360,000sq m (3.875 million sq ft) 12 months ago.
In last week’s Commercial Property we reported that a firm called Ion Equity acquired the USIT travel company in 2002 with backing from UK-based Lion Capital. This was incorrect: it was bought with backing from Lioncourt Capital (a Dublin-based private equity firm). Lion Capital was not founded until 2004.
Price for industrial cut by 44%
A substantial industrial premises at Furry Park, Santry, Dublin 9, first offered for sale in September 2007 for €8.9 million, is now available at the reduced price of €4.95 million through Lisney.
Keith Begley of that agency describes the 4,147sq m (44,638sq ft) building on a site of 0.97 of a hectare as “unrivalled value” given that it is located off the old airport road close to the intersection with the M50. While the vendor would prefer to sell the building, it is also available to let at a rent of €400,000 per annum.
Lucan business units sold
Agent HT Meagher O’Reilly has completed the sale of three business units in Millbank, an office development in Lucan village in west Dublin. They were purchased by a private investor at a price of around €2,260 per sq m (€210 per sq ft).
The agency says that a shortage of good quality business and enterprise accommodation in the Lucan area ensured that the Millbank units attracted strong rents and good covenants, even in these more difficult times. Occupiers include the Lucan Gazette, Jaguar Capital, The Marie Keating Foundation and APCOA plc.
