Hibernia Buys The Forum For €37.8m
Irish property investment outfit Hibernia Reit has bought The Forum building in Dublin's IFSC for €37.8m.
Hibernia acquired the building from an affiliate of Atlas Capital Group in an off-market transaction. The building is situated on Commons Street.
Constructed in 2003, The Forum building comprises 47,109 sq. ft. of office accommodation, spread over two floors atop a four-floor car parking space.
The offices are fully let to Depfa Bank on annual rent of €40 per sq. ft. on leases that expire in 2029, with options to break in 2019.
The total passing rent from the offices, together with 50 parking spaces also let to Depfa, is €2m per annum.
The remaining 320 car parking spaces are currently utilised by Park Rite, paying €675,000 per annum, on a lease that has formally expired. Lease discussions are ongoing with the tenant.
This acquisition is Hibernia's tenth since listing, and it is expected that it will be completed in late 2014, at which time Hibernia will have invested €374m, with a further €63m committed.
Kevin Nowlan, CEO of WK Nowlan REIT Management Limited, says that Hibernia is delighted with the agreed acquisition.
“The Forum is a Grade A building in a prime central Dublin location and delivers a substantial running yield.
“It is close to our other three office buildings in the IFSC and the parking capacity it has may in future be beneficial for potential tenants in those buildings.” (August 2014)