New York-based Marathon Asset Management is preparing to sell three established retail parks in Ireland, with a combined price tag of €78m (£67m).
Marathon has appointed Savills and Cushman & Wakefield to find buyers for the Parks Collection, which comprises Belgard Retail Park in Dublin, M1 Retail Park in Louth and Poppyfield Retail Park in Tipperary.
The parks are marketed with scope to be bought either individually or as one lot. The price reflects a net initial yield of around 8.43%, assuming standard purchaser costs of 9.96%.
Belgard Retail Park, which measures around 137,000 sq ft, is anchored by a B&Q store. Other occupiers include Homestore & More, Dealz, Carpet Right, Halfords, Right Style Furniture, Burger King and Starbucks.
The location has planning permission in place for an additional 25,877 sq ft retail warehouse. Its total current rent is around €3.13m per annum, its WAULT stands at 7.3 years.
The total current rent is approximately €3.13m pa with a WAULT of 7.3 years. B&Q contributes around two-thirds of the income on a lease until 2028, with an upwards-only rent review clause.
The 138,000 sq ft Poppyfield Retail Park was developed in 2004 and comprises 14 retail warehousing and an ancillary neighbourhood centre. It is 99% occupied and is anchored by Woodie’s DIY and SuperValu.
The pair contribute around 52% of the income, which tallies around €1.43m pa. They have seven and eight years remaining on their leases, respectively. The WAULT at the park is around seven years.
M1 Retail Park provides around 267,000 sq ft of retail, leisure and office space. It is anchored by Woodies DIY, which occupies 52,585 sq ft and contributes around 40% of income on a lease until 2030. Other tenants include Smyths Toys, Sports Direct and Brand Max, Dealz, Equipet and EZ Living.
The retail park also includes Mellview House, a four-storey building offering 25,048 sq ft of office space, a 30,483 sq ft gym operated by Gym Plus and a number of smaller shops. It also has a separate building called the Pavilion, which is occupied by Costa Coffee, TC Matthews and Lanu Medi Spa.
The location is being sold with 27 acres of additional land next to the retail park. That site consists of three adjoining plots with proposed zoning for new residential, mixed use and a district centre.
Marathon initially bought two of the parks in the collection, Poppyfield and M1, as part of a larger portfolio in 2014 while the third, Belgard, was acquired separately.
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