IT’s all about the timing — and the agents offering a shopping centre developed almost a decade ago and largely still unlet are hoping the time is right for a swoop, offering a 9% return, on a €1.9m sale, of a sizeable north Cork town centre that cost a reported €20m to deliver.
Back on the market is the largely vacant, but fully built, Charleville Town Centre on a four-acre site, just off the heavily trafficked Main Street in the strong county town on the Cork-Limerick border.
Anchored by Dunnes, who own their own unit, and featuring an Elverys (also occupier-owned) as well as Lloyds/Unicare pharmacy renting at €180,000, it’s being billed by Lisney’s Cork offices as “a modern shopping centre investment, with significant asset management enhancement potential.”
Even with 15 of its 17 units still vacant, the rent paid on the pharmacy unit alone equates to a 9% NIY return, and there are 16 years left to run on that lease. Sourcing and adding new occupiers (discount retailers? Dealz? Iceland?) would swell that yield further, in this 37,000 sq ft complex, which includes 450 multi-storey car parking spaces. Charleville’s population is c 3,700, it serves a wider catchment, and is on the Cork-Dublin rail line with a rail station close to the Town Centre, which backs onto Bakers Lane, in effect a sort of town bypass.
Noting the “significant asset management upside,” agent Margaret Kelleher of Lisney said it could be an ideal opportunity with immediate rental returns for someone skilled in retail management, and she says they will consider expressions of interest as an entire, or with the pharmacy investment separate to the balance of the development.
Charleville Town Centre was completed in 2008, just in time for the economic and retail collapse, and has 17 retail units ranging from 800 to 3,165 sq ft, as well as eight office units spanning 650 sq ft to 2,852 sq ft over ground and first floors, plus a two-bed 850 sq ft duplex apartment.
It was developed on a four-acre site acquired in 2004 at reported site cost of €4m by Beaux Walk Properties, at total cost of up to €20m and is being sold on behalf of receiver Ken Fennel of Deloitte.
It was last offered for sale back in 2014, via different agents, at just €950,000 all-in, but failed to find a buyer at that stage in the recovery cycle.
Details: Lisney 021-4275079
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