A trio of retail investment/opportunities worth over €1.6m are offered this week in two of Cork city’s affluent suburbs, and in Midleton, East Cork.
In each case, there’s immediate rental income, and further business scope, broadening the likely base of bidding interest even more, with an appeal to owner-occupiers, developers, and investors, and at eventual yields of up to 11%.
Most valuable of the trio at €700,000 is the corner building Nos 7-9 East Douglas St, next to the East Douglas mixed-use development in suburban Cork. It comprises a restaurant investment earning €55,000 pa, with a further €11,000 pa, in a three-storey building.
Long associated with Bullys pizza in earlier years, the 2,297 sq ft is now let to Italian eatery Marcello’s, on a 20-year lease from 2014 at €55,000 pa, with five-year rent reviews and no break options.
Overhead is 850 sq ft of offices, let to three tenants and currently earning an additional €11,232 pa.
Alongside and part of the sale is a vacant 1,174 sq ft building and small site, in front of the old Legion of Mary hall.
At a guide of €700,000 there’s an immediate initial yield of 9%, which would grow after development of the adjoining site.
There’s a number of boutique shops, bars, and restaurants in the immediate vicinity, which serve an enormous outer Douglas hinterland.
Nos 7-9 adjoins the former Permanent TSB branch, for which JD Wetherspoon had sought planning permission for conversion to pub use over two years ago.
Meanwhile, moving from the eastern suburbs to the western ‘burbs, a similar mix of income/further enhancement is on offer at Looney’s Cross, at the very apex of Bishopstown, by the Bishopstown Bar and Cork University Hospital.
Guiding €500,000 via Lisney, this comprises two adjoining self-contained retail units facing the Bishopstown Road. One, of 1,189 sq ft is let to Spice of India restaurant on a 35-year lease from 1994 (it, too, at an earlier stage was let to Bullys) at a current rent of €28,350.
The second unit of just over 2,000 sq ft traded for decades as an off-licence, and is now vacated.
“There’s potential to double the overall rental income from the immediate net initial yield of 5.4% when this unit is let. It will appeal to investors and/or owner-occupiers, including retail and cafe/restaurant users,” say Ed Hanafin and Mark Kennedy of Lisney, noting it has planning for use of a portion as a sandwich/deli bar, for hot food on/off the premises.
It’s close to the Bishopstown TSB and AIB branches, and a new credit union is under construction in a mixed development 250 metres away.
Also close to hand are the CUH medical campus, employing thousands, CIT, and Wilton Shopping Centre, as well as dozens of long-established housing estates.
Nearby on the Wilton Rd, Lidl just last month was granted full planning for a store, facing an Aldi which started trading just last year.
Finally, the same agents have what they describe as a high-yielding, mixed-use investment property, with ground-floor retail and four apartments, on Main St, Midleton, also for sale via private treaty.
The sale, guiding at €400,000, includes a two-storey, three-bedroom townhouse. Residential rents from this and the apartments earn €33,000 pa, and the retail unit (an off-licence, no longer trading) should earn about €20,000 pa. Lisney is offering the Main St property mix all in lot, guiding at €450,000.
“The property is situated in a prime location in Midleton town centre, which serves a population of 12,000. This equates to a net initial yield of 7.1% and the return will rise to over 11% when a tenant is secured for the ground floor retail unit,” say the selling agents.
Details: Lisney, 021 4275079
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