London, 5th December 2018 – M7 Real Estate (“M7”), the pan-European investor and asset manager, announces that it has purchased Westlink, a large multi-let industrial estate on the Kylemore Road, Ballyfermot, Dublin 10 in the Republic of Ireland, on behalf of an M7 managed fund. The asset has been acquired from a private investor in an off market transaction for a total of €13,870,000, which equates to €72.36 psf and reflects a Net Initial Yield of just under 7%.
Westlink Industrial Estate is located in the suburb of Ballyfermot, 7.5 km west of Dublin City Centre. The estate is strategically located approximately 3km from Junction 9 (Red Cow) of the M50, the main arterial road in Dublin. The well-known estate comprises 31 units and extends to approximately 192,000 sq ft.
Dublin has suffered a severe shortage of modern industrial stock over the last few years and against this backdrop, M7 will commence extensive upgrade works almost immediately to enhance the current offering and provide much needed, newly refurbished space to the market. The comprehensive repositioning of the asset, which has a 22% vacancy, will provide a platform to implement a lettings programme.
John Murnaghan, Head of UK and Ireland Real Estate at M7 said: “We are extremely pleased to have acquired Westlink which provides us with the rare opportunity to acquire an almost unbroken, quality estate in one of Dublin’s core industrial areas. We believe that Dublin Industrial close to the M50 is set to continue strong performance over the coming years. This is a great value add opportunity to apply an extensive programme of upgrade works across the remaining vacant units to further enhance the quality of the estate, improve occupancy levels and rapidly secure rental growth.”
Newly refurbished units from 4,800 sq ft to 21,200 sq ft will be available to let from Q1 2019. JLL and CBRE are acting for M7 as joint letting agents.