IPUT to offload three Cork city centre properties

PROPERTY fund IPUT, with some €2bn in investments and which celebrates 50 years in the investment game this year, is seeking to offload three Cork city centre retail investments at the western end of Patrick Street, guiding €9.5 million, or a c 6.15% yield.

Set opposite the practically completed and almost fully reserved €50m new Capito development of office and retail, new to market this week is a trio of invesments, No 73, 74/75 and 79 Patrick Street.

Also in the same vicinity, and offered last year as part of the eight-property strong Irish Life CLIC Portfolio of Limerick and Cork investments were Nos 77 and 78 Patrick Street, let to fashion chain Coast and mobile company Meteor, with individual valuations of €1.75 million, and €1.275m: there’s no offical confirmation yet of a conclusion on the €9.5m CLIC Portfolio, via Downing Commercial/Behan Irwin Gosling.

IPUT’s trio has as tenants in the 4,100 sq ft No 73 Abrakebabra, let until 2026 at a curren rent of rent of €190,000 per annum; in the 2,250 sq ft No 79 are Carphone Warehouse, on a lease to 2024 at a rent also of €190,000.

And, on a new lease in the former, previoulsy long-vacant 7,500 sq ft No 74-75 (empty until 2016 after being vacated several years ago by Mothercare) is Danish houshold goods providers Sostrene Grene, on a new 15-year lease from August 2016, with tenant break option in 2023. Current passing rent is €230,000 pa.

Likely to be confirmed shortly as new traders across Patrick Street at the Capitol complex, close to practical completion by developers JCD and likely to be offered subsequently as an investment, are Lifestyle Sport and TK Maxx’s Homesense division, but agents Savils and JCD have resolutely declined to confirm the full retai/office line up.

Terms on the second retailer there are expected to be confirmed very shortly, and most of the overhead office space to be known as 14-23 Grand Parade also is committed, with one floor of offices left to negotiate.

Launching 73, 74/75 and 79 Patrick Street as one lot for €9.5m, Savills’ Cork director Isobel O’Regan says she expects “this prime, fully-let retail investment opportunity iset to attract significant levels of interest from domestic and international investors.

It offers a rare opportunity to acquire a sizeable holding on Cork’s main retail thoroughfare, at an attractive yield profile relative to prime retail yields on offer in Dublin city centre.” Totalling 14,000 sq ft of buildings, there’s an overall rent roll of €610,000 pa, and a weighted average unexpired lease term of approximately 7.6 years.

DETAILS: Savills 021 4271371