Suburban Retail: A private investor has paid over €2 million for a retail investment in Shankill, Co Dublin, which will show an unusually low yield of 3 per cent.
The premises, which is rented by bookmaker Paddy Power, was sold at tender through agent Hooke & MacDonald.
The yield is similar to that achieved recently for many of the AIB and Bank of Ireland branches which were sold on a sale and leaseback basis, according to Ashling O'Kelly of the selling agent.
The ground floor retail unit of 154sq m (1,658sq ft) forms part of a small development by a subsidiary company of Eircom.
The premises is let on a 20-year lease from October, 2005, with upward-only rent reviews and no break clause in the lease. The current rent stands at €83,400.
Not surprisingly, the sale generated "huge interest", according to the agent, because of the shortage of top-grade investment properties suitable for inclusion in private pension funds.
