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Dublin industrial lots could yield up to 13pc

Bryan Garry of QRE is quoting €995,000 for Ossory Court, 24 Ossory Road, Dublin 3

Two Dublin industrial investments, one with development potential, have been brought to the market through agents QRE Real Estate Advisers which is selling them separately for two different receivers.

The more valuable of the lots is Ossory Court, 24 Ossory Road, Dublin 3, which comprises 25 units in total extending to 25,000 sqft. Eight units are vacant and the others generate total passing rents of about €144,000 per annum.

Bryan Garry of QRE is quoting €995,000, which reflects a capital value of €40 per sqft and he says this price is substantially below replacement cost and would equate to a net initial yield (NIY) of about 13pc. He also estimates potential to achieve rents of about €200,000 per annum and points out that the site may be suitable for residential development as the lands are Zoned Z1 ‘Sustainable Residential Neighbourhoods’.

The industrial park adjoins the Dublin-Belfast Iarnród Éireann railway line.

Separately, QRE is quoting €595,000 for Unit 1 and 2, Snowdrop House, Club Road, Clondalkin. Extending to 6,787 sqft, this property is single let to Hudson Distribution Limited t/a All Tools Direct for a term of four years and nine months from April 2022 at a rent of €53,000 per annum.

The guide price reflects a capital value of €87 per sqft and a NIY of 8.1pc.

It will be sold by online auction via the Offr platform on December 6.

This is an investment sale, and the existing tenant is not affected.

written by Irish Independent

November 2023