Cork mixed-use development on the market for €34m (IE)

Cork ‘Half Moon’ development goes on the market for €34m (IE)

O’Callaghan Properties have placed the Half Moon Street development in the heart of Cork City Centre on the market today with a guide price of €34m – reflecting an initial yield of 7.07%. Savills and CBRE are handling the sale. The mixed-use asset which was developed in 2009, generates a current gross annual income of €2,6m and is one of the most significant prime investment opportunities to launch to the market in Cork in recent years.

 

Situated in an attractive waterfront setting on Lavitts Quay, the building was designed by Wilson Architects and is anchored by Apple Europe and Boots pharmacy’s flagship Cork store. The building extends to 119,589ft² of retail and Grade A office accommodation and other tenants in situ include Henry J Lyons, Matthews, and Kopper Hair Salon.

 

The Grade A office space is currently let to Apple at €22 per ft² which offers significant reversionary potential given recent lettings for newly built office space in Cork have reached €32.5 per ft². Other notable asset management opportunities include letting the currently vacant retail space at ground and lower ground floor level.

 

Speaking of the launch, Brian O’Callaghan of O’Callaghan Properties said: "We are delighted to bring our Half Moon Street development to the market as a direct response to the high levels of interest from both Irish and international investors in Cork in recent months. We are currently developing the largest office complex in Cork at Navigation Square and the sale of Half Moon Street will further help to position Cork as a high-quality investment location for institutional investors."

 

Domhnaill O’Sullivan of Savills commented: “We are expecting interest to be strong from the onset – not only is this a highly desirable investment opportunity in terms of location, unit potential, mix, and design, but there is a dearth of assets of this grade on the marketplace. What’s more, it is surrounded by a myriad of local amenities with a waterfront setting and extensive views of the River Lee. Its close proximity to prime retail on Patrick Street and Opera Lane will also prove attractive to prospective investors”.

 

Kyle Rothwell of CBRE added: “This is Boots flagship Store in Cork and the office space leased to Apple offers significant asset management and reversionary potential. We believe this will appeal to both domestic and international firms looking for strong value add potential.”

 

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