Hines, acting on behalf of the Hines Pan-European Core Fund (HECF), has completed the acquisition of Chatham & King, a mixed-use asset in Dublin. The seller is an affiliate of Lone Star Real Estate Fund III.
Located adjacent to Grafton Street and St. Stephens Green in the heart of the city centre, the asset represents HECF’s second acquisition in Dublin following the acquisition of the Grafton Collection portfolio in 2016 and 2017. With the addition of this asset, the HECF portfolio consists of 18 properties in eight different European countries with a current aggregate value in excess of €1.1bn.
The acquisition of Chatham & King incorporates an existing mixed-use building with retail units comprising 33,500 ft² occupied by Zara, H&M and Warehouse, and data analytics management firm Qualtrics, occupying the 31,000 ft² office space above as its European headquarters.
Included in the sale is the Chatham Court building, the second phase of the asset to be developed by Lone Star and delivered in the next 24 months. It will include five retail units totalling 15,597 ft² and ranging from 495 ft² to 12,680 ft², providing best in class retail and food and beverage space. Qualtrics has also agreed to pre-let 26,000 ft² in that building.
Peter Epping, Senior Managing Director and fund manager of HECF, said: “As one of Europe’s most attractive growth cities, Dublin is an important market for HECF and with its prime qualities for both its office and retail use, Chatham & King represents a perfect opportunity to own an asset in this key market.”
Brian Moran, Senior managing director and country head for Hines Ireland, said: “Hines is delighted to close the Chatham & King acquisition, a marquee mixed-use property at the centre of Dublin’s most fashionable shopping, restaurant and commercial district. We have acquired both a strongly-performing asset along with a new phase of additional retail and office which will come online in 2020.”
Lars Huber, CEO of Hines Europe, added: “Over the past year we have been working to further strengthen our position in established and emerging European markets. In the last 24 months, including Chatham & King, we have invested roughly €470m in prime city centre assets through HECF, and we will continue to pursue further strategic acquisition opportunities.”