Hibernia Announces Acquisition of €10m (Valued at €107 in 2006) Strategically Located Property with Significant Re-Development Potential
Hibernia REIT plc (“Hibernia” or “the Company”) announces that it has exchanged contracts to acquire the Gateway site, Newlands Cross, Naas Road, Dublin 22. The property comprises an industrial/logistics facility with potential for significant intensification.
The cost of the acquisition is €10m and will be financed from existing cash resources.
Kevin Nowlan, Chief Executive Office, WK Nowlan REIT Management Limited, the Investment Manager, commented:
“We are very pleased to have acquired an income producing asset with enormous development potential in the medium to long term. The site occupies a strategic location adjacent to the intersection of Ireland’s two busiest roads and Dublin’s light rail system. The current upgrade works being undertaken to the Naas Road will considerably enhance the attractiveness of this property.”
The property comprises 178,000 sq. ft. of warehouse accommodation and occupies a prime 14 acre site with excellent frontage onto the Naas Road and is within close proximity to the M50 motorway and to Dublin’s light rail system. It is currently 46% occupied and is producing an annual rental income of €517,000. The current gross yield is 5.12%.
This is the third acquisition by Hibernia since listing in December 2013 and will bring total funds invested to approximately €128m in a diverse portfolio of assets.