IPUT has acquired a portfolio of commercial property assets from the Bank of Ireland Staff Pension Fund for an all cash consideration of EUR115m in an off-market transaction.
The deal will provide IPUT with a blended income yield of 7.00 per cent and increases the value of assets under management by IPUT to over EUR1bn.
Niall Gaffney, chief executive of IPUT, says: “IPUT has an established record in assisting larger institutional investors consolidate their investment in property as an asset class. Today’s announcement follows on from previous IPUT acquisitions of the property assets of other leading institutional investors such as the ESB, Diageo and Irish Airline Staff Pension Funds, which amounted to portfolio acquisitions of close to EUR200m. The acquisition of the ‘Salix’ portfolio of institutional grade properties will further strengthen the long term income returns for IPUT investors.”
JLL Advised the Bank of Ireland Staff Pension Fund on the transaction.
The ‘Salix’ portfolio comprises of 13 institutional-grade investment properties situated throughout Dublin and extending to over 70,000 square metres. Significant tenants include IDA Ireland, Ericsson, BWG Foods, Topshop and B&Q. Current rental income from the portfolio is approximately EUR8.4m per annum.
Key retail assets include 6/7 St. Stephens Green, Dublin 2, which extends to 2,500 sq m and is occupied by Topshop; 72 Grafton Street which extends to almost 930 sq m and is occupied by Karen Millen; and a 50 per cent interest in a 9,940 sq m retail warehouse in Liffey Valley Retail Park which is occupied by B&Q plc under a long term lease.
The portfolio also includes North Dublin Corporate Park in Swords which comprises of five modern industrial units and extends to over 9,940 sq m, and two adjoining high bay warehouse units in Kilcarberry Distribution Park on the Nangor Road, Dublin 22, which extend to 22,294 sq m and which are occupied by the BWG Group. Office buildings include Ericsson’s Dublin head office in Clonskeagh, Dublin 14, a 4,645 sq m office building in EastPoint Business Park, Dublin 3 and a 33 per cent interest in the IDA Headquarters, Wilton Park House, Wilton Place, Dublin 2 which extends to 12,354 sq m.