Merrion Row restaurant building for sale for €1m

Estate agent Finnegan Menton is seeking in excess of €1 million for a particularly well-located restaurant and office building half way between the Shelbourne and Merrion hotels at 18 Merrion Row, Dublin 2.

The ground floor and basement extend to 86sq m (930sq ft) and are let to the award-winning restaurant Eto while the three upper floors with a further 125sq m (1,350sq ft) are rented by Ben O'Rafferty solicitors. The restaurant owners, Liz O'Mahony and Simon Barrett, have entered into a new 25-year lease, which will commence on the expiry of the old lease this March at a rent of €40,000 per annum.

Ben O'Reilly solicitors is over holding on an old 35-year lease, which expired a number of years ago at a rent of €20,000 per annum – the equivalent of €15 per sq ft. While the tenant has rights to a new lease, one has not to date been entered into. Nicholas Corson of Finnegan Menton says, "There is obvious reversionary potential in the low passing rent." A selling price of more than €1 million would show an initial yield of 5.75 per cent, increasing on renewal of the upper floors lease to more than 6.5 per cent.