A fully-let, and substantially rebuilt, period property two doors away from the Cork Vision Centre on North Main Street is for sale, with an income of €105,750 pa.
Listed with a €1.295m price guide is 86 North Main Street, which earns €94,000 pa from eight one-bed residential rents under a lapsed Residential Accommodation Scheme (RAS) deal with Cork City Council, topped up with a further €11,000 from its ground floor retail unit.
Auctioneer David McCarthy of Lisney says it has a 7.55% net initial yield.
Given concerns over buildings condition after a significant partial collapse of nos 62, 63 and 64 North Main Street, investors/new owners of No 86 can take comfort from the fact it was “completely redeveloped in 2006, with the exception of the facade of the building fronting North Main Street, with separate access to the upper floor apartments from St Peter’s Avenue.”
The four four storey, mid terraced building has a ground floor commercial unit let to IT Outlet, on a nine-year lease from November 2018. The eight one-bed apartments had been let under RAS with Cork City Council which expired in November 2017. They are currently held on an overholding basis, with rents increased in May 2019.
Lisney say that given a current market shortage of investment properties available at this price range they expect “a high level of demand from private investors seeking a compact, easily-managed investment, many of whom will be investing via pension funds,” and add that also of interest may be “the fact that this is a rare opportunity to engage with Cork City Council to secure a long term rental income.”