M7 sells Fumbally Lane office complex, Dublin to BCP for €33.5 million

29 August 2018

London, 29 August 2018 - M7 Real Estate (“M7”), the pan-European investor and asset manager, announces that it has sold an office complex on Fumbally Lane, Dublin 8 in the Republic of Ireland, on behalf of M7 European Real Estate Investment Partners IV (“M7 EREIP IV”), to BCP Fund Management DAC (“BCP”) for a total of €33.5 million, a capital value per square foot of €403 and a reversionary yield of 8.5% on today’s ERV.

The asset comprises a modern five storey office building with 55 underground car parking spaces and a further three period properties, including part of a deactivated distillery, which have been recently converted into high quality office space totalling 83,699 sq ft. In addition, the site also includes four residential units totalling 4,000 sq ft and a 0.4 acre development site.

M7 acquired the asset in December 2016 with a vacancy rate of 17% which is now circa 2%. Following an intensive asset management programme, M7 refurbished and comprehensively improved the common areas to all parts of the scheme and undertook 19 new leases within the 20 months of its ownership totalling 33,191 sq ft and generating an additional annual contracted rent of €1.14 million. Including lettings in solicitors’ hands this results in an increase in rental income of 51%.

 

Fumbally Lane is located in Dublin 8 within the vibrant area of the Liberties, an office hub for creative, media and technology businesses. The office space is occupied by a diverse range of businesses operating in the education, media, software, fashion, architecture and marketing sectors. Occupiers include: Joe.ie, CMC Marketing, Adara Software, SquareUp, Ditta Eyewear, Disability Federation Ireland and the Institute of Technologies Ireland. Part of the strategy was to reposition the asset to capitalise on the growing TMT and creative sector in Dublin 8.

John Murnaghan, Head of Real Estate in the UK and Ireland at M7, commented: “The sale of our Fumbally Lane asset ahead of the anticipated exit time frame in our business plan demonstrates the strong occupational demand in the Dublin office market plus the success of our leasing strategy, which has focussed on providing a quality product with an engaged occupier approach. We have no doubt that the asset will go from strength to strength under BCP’s ownership.”

Nick Cullen, Investment Director at BCP, commented: “We are delighted to acquire the Fumbally Lane office complex from M7 in an off-market transaction. At nearly full occupancy Fumbally Lane has proven itself as a convenient and affordable City Centre Fringe location for media, technology, and creative tenants. The emergence of the immediate area as a mixed use hub and the wider regeneration of Dublin 8 will serve to increase the attractiveness of this location to occupiers in the coming years.” CBRE acted for M7 Real Estate and Savills acted for BCP.

M7 goes green on its retail warehouse portfolio with Engenie partnership

6 November 2018

London, 6th November 2018 – M7 Real Estate Ltd (“M7”), the pan-European real estate investment and asset manager, is pleased to announce that it has entered into a partnership with Engenie to install electric vehicle (EV) rapid chargers across a number of M7’s out of town retail warehouse car parks, which is estimated to remove over 2.5 tonnes of harmful NOx from UK roads . read more

M7 acquires long let Eddie Stobart distribution warehouse asset at a 10% net initial yield

16 October 2018

London, 16 October 2018 - M7 Real Estate (“M7”), the pan-European investor and asset manager, announces that it has acquired, on behalf of M7 Real Estate Investment Partners VI (“M7 REIP VI” or the “Fund”), five adjacent warehouse units let on a long term lease to Eddie Stobart Ltd (”Eddie Stobart”) in Workington, Cumbria for £6.295 million, representing a net initial yield of 10% and a capital value per sq ft of £13.22. The asset has been acquired from.the Stobart Group. read more

M7 increases co-operation with Maskun Kalustetalo Ltd and is now fully let in Porvoo

1 October 2018

Helsinki, 1 October 2018 - M7 Real Estate (“M7”), the pan-European real estate investor and asset manager has, on behalf of M7 Real Estate European Investments Partners IV fund (“M7 EREIP IV”), signed a lease for 1,301 sq m of retail space with Maskun Kalustetalo Ltd (“Masku”) at Ratsumestarinkatu 5, Porvoo. M7 and Masku have previously co-operated when Masku opened a large store in Mäkikuumolantie 3, Hyvinkää earlier this year. read more