Yew Grove REIT buys two Dublin offices – Yew Grove REIT has exchanged contracts to acquire the One and Three Gateway office buildings, which are situated on the East Wall Road in Dublin 3 for an agreed price of EUR29 million.
The two office buildings, which were included as part of the property pipeline in the Company’s admission document, comprise some 94,793 sq ft and are let to the Electricity Supply Board of Ireland, Whirlpool Corporation and Colt Technology Services Ltd, at 97% occupancy. The buildings’ purchase price of EUR29 million reflects a net initial yield of 6.5% and a gross reversionary yield exceeding 8.5%. The buildings together have a weighted average unexpired lease term (WAULT) of 2.8 years to break and 4 years to expiry.
The buildings are located within walking distance of Dublin’s International Financial Services Centre and just south of the Port Tunnel and East Point business Park.
Jonathan Laredo, Chief Executive, commented: “I’m very pleased to announce our first acquisition since our IPO. The key attractions of these buildings were the quality of their location, build and tenants. East Wall Road is becoming viewed as a part of the North Docks and is benefiting from increasing tenant interest due to its attractive rent levels and excellent transport links. The relatively short unexpired lease term and minor vacancy allows the company to actively manage the buildings which we hope will grow the income and capital value of the properties over the next few years. ”
YEW : Yew Grove REIT buys two Dublin offices