Statoil and KPMG line up moves to offices in IFSC

Statoil, the Norwegian state-owned oil company, is involved in negotiations to move its Irish head quarters to Dublin's International Financial Services Centre. Leading accountant KPMG is also to transfer its international financial services operation to the docklands. Each of the companies will occupy about 30,000 sq ft of space, Statoil in George's Dock 6 and KPMG in George's Dock 5. Statoil turned its attention to the IFSC after the developers of a 100,000 sq ft office scheme in Ballsbridge agreed to let it to Iona Technologies. Statoil had been in discussions to rent 27,000 sq ft but the space was offered to Iona at a rent of £18.25 per square foot. The company will have a break option in the 15th year. Statoil, which is represented by Sherry FitzGerald, has not yet completed contracts for its new accommodation, which is due to be ready by the end of February. The company is currently based at Deans Grange.

KPMG will be moving 160 of its staff of almost 1,000 from Russell Court to the IFSC, where it will occupy three floors of George's Dock 5. The letting agents had been quoting a rent of £29 per sq ft once a 15th-year break was to be availed of. Lisney advised KPMG on the deal.

Banque Nationale de Paris has already moved into three floors in the building and a further floor of 10,000 square feet has been taken by Bank Geshellshaft Berlin. A Dublin-based bank is understood to be close to agreement on taking another floor. There has been a rush by licensed companies to rent space in the last remaining blocks nearing completion in the IFSC since Hardwicke and British Land announced last November that they would be offering break clauses for the first time. All previous leases agreed have been for a period of 25 years. The special tax status is due to expire in 2005. However, Mr Brian Rhatigan's company, which is developing Custom House Plaza at the IFSC, is also handling a high level of inquiries for space despite the fact that he is not offering break clauses. There are still 72,628 sq ft of space available in four of the plaza blocks. However, a private investor who bought one of the plaza blocks is offering breaks in an attempt to find tenants for 15,868 sq ft on three floors of Plaza 3. Tenants who do not want to take a 25-year lease at an initial rent of £27.50 per sq ft are being offered a break in the 15th year at a rent of £36 per sq ft.