EastGate building has backing of two governments

Not one, but two governments — and their two currencies — are behind the agency and lease at a property investment just up for sale with a price tag of nearly €4m.

Up for sale is 7 EastGate Avenue in Little Island, Cork, a business park office building occupied by Safefood, the Food Safety Promotion Board, one of six special North-South cooperation bodies established after the Good Friday Agreement in 1999.

Described as Safefood’s HQ (it also has a Dublin office) the detached two-story building has 20,000 sq ft and “represents a superb opportunity for those looking for a secure property investment, with excellent rental income”, says Johnny Archer of Lisney’s Cork office. He notes that it’s held on a 25-year lease from June 2001, with a passing rent of €370,000 pa. Asking price is €3.95m, which represents an initial yield of 8.96%.

Notably for investors, the lease is subject to ‘upward only’ rent reviews every five years, and there are no break options. Mr Archer notes that the tenant body has “the backing of both the Irish Government and Northern Ireland Assembly, and as such represents a blue chip investment opportunity”.

He says there is active investor interest in the commercial market at the moment. “Considering the strength of the covenant, and income stream for the remainder of the lease, keen interest is expected in this investment property,” says Mr Archer.

Details: Lisney, 021-4275079