Limerick city’s new DFS sofas showrooms, opened just prior to last Christmas, has been offered for sale as an investment, with a guide price of €3 million.
The DFS outlet, one of six on the island of Ireland and one of four in the Republic, arrived in the former O’Mara Motors showrooms on the Ballysimon Road last November after a major fit-out: it had been associated with the building’s reported €1.3m purchase since 2014 when it went for change of use planning and alterations.
Now, Colliers International has the investment sale of the DFS showroom, held on a new 15-year lease from November 2015, to DFS Trading Ltd.
Annual rent is €225,000 and the unexpired term is 14.45 years.
Richard Bielenberg of Colliers seeks €3 million, ex VAT, which he says equates to a net initial yield of 7.18%, after standard purchaser’s costs of 4.46%: it represents a capital value of €135.60 psf.
DFS currently operates from three locations in Ireland — Blanchardstown and Carrickmines in Dublin, City Gate, Mahon, in Cork, and most recently in Limerick.
Founded in 1969, it is a market leader for upholstered furniture in the UK, and now growing too in Ireland.
It employs more than 3,500, in more than 100 retail stores in the UK, Ireland and the Netherlands.
Its Limerick base has 22,000 sq ft of showrooms over three floors with customer lobby, lifts and escalators, and has parking, all on 1.4 acres.
At last year’s opening, DFS’s Chief marketing officer and Adare native Helen Normoyle, said DFS was thrilled to be investing further in Ireland, and commented of her hometown that “Limerick is a terrific city and the new store will be a great addition to the local retail landscape”.
Its glazed elevations have profile to the Ballysimon Road, which links Limerick city centre with the M7, and the vicinity has a number of retail warehousing and bulky goods retailing hubs.
“It’s a fantastic location, on the edge of Limerick city,” says Colliers’ director Mr Bielenberg of this c €3m investment offer.
Details: Colliers 01-6333700
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