A private investor has paid around £700,000 for a retail investment in The Green Building in Dublin's Temple Bar area. The yield will be 6.25 per cent in addition to valuable tax breaks. The ground floor and basement, with a total of over 3,000 square feet, have been let to O'Hagan Design for its Haus showroom under a 35-year lease at a rent of £47,500 per annum. There is a break option in the 10th year.

Jones Lang Wootton, which handled the sale for Temple Bar Properties, achieved a yield 1 per cent lower than in 1996 when the retail area was due to be let fashion multiple Red or Dead at a rent of £60,000 per year. The letting did not proceed when Red or Dead ran into trading difficulties. This week's sale shows a 15 per cent increase in the capital value of the shop and basement over the past year. The new owner will be able to claim 50 per cent capital allowances, 27 per cent of it in the first year. Earlier this year, the same agents sold the first floor of The Green Building to Woodgreen Builders as their headquarters. The company paid £220,000 for the office suite of 2,131 square feet on top of generous capital allowances.