German real estate fund Patrizia is in talks to buy the Benson Building in Dublin for €51.4m (£43.9m).
Targeted Investment Opportunities instructed Savills and Owen Reilly to sell the residential development at 76 Sir John Rogerson’s Quay for €52.5m in August last year.
The 11-storey site is part of TIO’s wider office scheme at the docklands site. The building will offer 72 premium apartments, two shops, leisure space and 72 parking spaces.
The scheme is expected to complete in the first quarter of 2020. Its current estimated rental value is around €2.9m pa.
Upon completion, it is estimated that the Benson Building will account for around 11% of new residential supply in Dublin’s South Docklands.
The news comes after EG revealed last week that Patrizia had sold out of BTR in Manchester. It has sold its build-to-rent development at Manchester’s First Street to Downing Developments for £18m.
In contrast, Patrizia has been investing heavily in Dublin over the past few years in offices and flats.
Patrizia first emerged on the Dublin scene around four years ago, when it bought a new development of 63 flats in 2015 close to the North Circular Road entrance to Phoenix Park for €15m.
In 2017, the firm acquired a BTR development in Dún Laoghaire, County Dublin, for around €130m. The project was funded by Ireland’s National Asset Management Agency and developed by the Cosgrave Property Group as part of its exit strategy from Nama.
Patrizia previously sought to forward-fund, build and sell BTR schemes. However, it has been looking to realign its portfolio after the 2017 acquisition of Rockspring. The firm is now shedding development exposure in favour of built asset management, and is still looking at different at-scale opportunities for growth.
Patrizia declined to comment. Savills and Owen Reilly were approached for comment.
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