Frank Gleeson of The Mercantile Group has appointed QRE Real Estate Advisers to dispose of two high profile assets from within its extensive portfolio to include such venues as Café En Seine, Whelans, Opium and The Mercantile. The Mercantile Group, which is one of the largest independently owned hospitality businesses in Ireland has placed both the Bottom of The Hill, Finglas and Páídí Óg`s, Mulhuddart on the market for sale. The move comes after the group recently merged with Capital Bars and is thought to be a rationalisation of the group’s existing portfolio, and to allow for further acquisitions in the near future.
The first property, The Bottom of The Hill is located on a prominent site on Main Street Finglas and provides a sizeable fully let investment, which extends to approximately, 1,003sq.m. (10,797 sq.ft.) in total. The existing licenced premises is currently occupied under a short term agreement at an annual passing rent of €75,000. In addition, Paddy Power occupy a ground floor retail unit under a ten year lease, which expires in 2019 at an annual passing rent of €35,000. Two further restaurant/takeaway operators account for the balance of the rent roll. Marcolino’s Restaurant & Takeaway occupy a corner ground floor unit under a 20 year lease expiring in June 2021 at an annual passing rent of €28,000. The majority of the first floor is occupied by the Rose Garden Chinese restaurant under a 10 year lease expiring in 2019 at an annual passing rent of €50,000, although this is currently abated to €41,600. In total, the investment is producing €179,600 and at the guide price of €1,750,000, it indicates an attractive net initial yield of 9.82%.
The second property, Páídí Óg`s in Mulhuddart has ceased trading in recent years and offers a prime development opportunity in the centre of the Village. The site, which extends to approximately 0.40 ha (1 acre) occupies a pivotal corner site at the junction of Blackstone Road and Church Road. The site is zoned part ‘Local Centre’ and part ‘High Amenity’ within the Fingal Development Plan 2011-2017 and uses permitted in principle (under Local Centre) include Residential, Supermarket and Health Centre. According to Conor Whelan of QRE, ‘with the well documented shortage in the housing market, we expect significant demand for the site from developers seeking to acquire a town centre infill site’. QRE are quoting a guide price of €875,000 for the site. Conor Whelan and Bryan Garry of QRE are handling the sale on behalf of the Vendor.
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