Bank headquarters will generate interest

By Tommy Barker

The Munster headquarters of the Bank of Ireland, at 32 South Mall in Cork city centre has been put up for sale, as a banking blue-blood, blue-chip investment. The guide is €16 million.

It has had its city, corporate business and Munster HQ at No 32 South Mall since the 1970s, and the pivotal, corner-set building of that era has had a major overhaul done by the bank in 2008/2009, estimated to have cost €3.2 million.

There’s a 14-year term left on a 25 year lease from 2007, just preceding the time of that multi-million euro building upgrade done by the bank, neatly bringing the income earning rental horizon on No 32 to the year 2032. Current rental income is €864,879 pa, showing a gross yield of 5.4 %.

The €16m investment offer is via agents Cearbhall Behan and Anthony Quinlan, of Behan Irwin & Gosling/Downing Commercial, acting on behalf of a private client investor, and they describe the five-storey 25,000 sq ft building — and the investment — as “prestigious,” and “synonymous with Bank of Ireland, having been their Munster headquarters since the 1970s.”

The 1960s-built modernist structure underwent a major refurbishment and recladding in 2008/09 under the guidance of Waterford-based CJ Falconor Architects, which updated the exterior in conjunction with a new fit out internally, including mech and elec upgrades, plus a ‘green’ roof over a courtyard.

No 32 is BoI’s last and most prestigious building on the South Mall: it also has a presence at 70 Patrick Street, as well as in several remaining suburban branches, plus UCC, with 28 branches currently across Cork city and county.

No 32 faces AIB’s Munster stronghold across the street, at 66 South Mall, and the large two HQ presences are among the last, stalwart bank holdings on the South Mall. Gone from the street in the past decade are the likes of ACC, NIB, Ulster Bank, Bank of Scotland, ptsb and various commercial and investment wings and branches of the pillar banks.

In contrast, new invigorated South Mall shakers and movers include tech companies like Eventbrite at the former AIB branch in 97 South Mall; Forcepoint, joining KPMG at the new JCD office building at 85 South Mall; Dalata Hotel’s Maldron by Parnell Place; and UCC at the old ptsb/Cork Savings Bank branch.

Noting the 14 years solid left to run on the lease at No 32 South Mall, Cearbhall Behan stresses that Bank of Ireland are unaffected by this sale and anticipates “strong interest from both private buyers and institutional investors,” including from German investors.

He says the sale “represents a long term, secure investment for potential purchasers.”

It is being sold by private treaty, by means of a best bids process, with final offers sought by November 15

Details: Behan Irwin & Gosling/Downing 021-4270007.