A WELL-SET St Patrick Street Cork city retail investment directly opposite the completed and fully occupied Capitol mixed use development, which is let to Boots Chemists and earning a current annual income of €540,000 is for sale, guiding €5.75 million.
Agent Pat Kirwan of GVA Donal O Buachalla has the sale of 71-72 St Patrick’s Street, at the western end and corner of Cork’s main shopping boulevard with St Peter and Paul’s Lane, which links to Paul Street, next to the architecturally important St Peter and Paul’s 19th century church.
He describes it as high-end commercial investment property, fronting St Patrick’s Street, next to a Bank of Ireland branch. Directly across the road is the John Cleary Developments Capitol scheme, redeveloped and now home to Lifestyle Sports, HomeSense, the rebuilt Oyster bar and restaurant, and overhead offices, with Facebook’s Oculus, Huawei and Alien Vault as key occupiers.
The completed and occupied JCD developed was purchased last year by Real IS, in a €45.6m swoop, for a reported 5.5% return.
In contrast, at the €5.75m guide, the proposed GVA Donal O Buachalla sale of 71-72 Patrick’s Street could show a net initial yield of 8.65%, albeit for an older building, and with just four years and seven months left to run on the lease to Boots.
The entire three-storey building, which includes a first floor laid out as a restaurant (previously sub-let but currently not trading,) is let to Boots Retail (Ireland) Ltd on a 35-year lease from October 1987.
The FRI lease is guaranteed by Boots Chemists Ltd, and incorporated five-yearly upward only rent reviews, and the current rent level is €540,000.
Previous occupiers, almost historically so now, included the Gas Company, and a famed Thompsons cafe. Since Boots arrived on St Patrick’s Street in ‘87, it has also expanded to a number of shopping centres and Boots subsequently opened a large, two-storey newer Boots on Half Moon Street/Paul Street in the O’Callaghan Properties redevelopment which adjoins Opera Lane.
Selling by private treaty, surveyor Pat Kirwan described Patrick Street as “the premier high street retail district in Cork city centre, with excellent footfall.”
Details: GVA Donal O Buachalla 01-6762711.
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