Construction BUSINESS

US-based State Street Global Advisers has paid €11.05 million for a high-profile building in Fonthill Business Park in Dublin 22, which has been described as “possibly the best HQ logistics building in the country”.

Developed by Green Property and adjacent to Liffey Valley Shopping Centre, the block is let to United Drug Plc on a 10-year lease from June 2013. The lease provides for a current annual rent of €500,000 to be stepped up to a maximum of €700,000. The building comprises a 5,544sq m (598,674sq ft) warehouse and offices extending to 2,527sq m (27,200sq ft).

The investment was one of four commercial properties in the Magellan Portfolio that failed to sell last October when they were offered for sale on behalf of a Swedish investor who has been active in the Dublin market for more than 25 years.

Another property in the portfolio has also been sold in the past week to private investor, who paid €2.85 million – €100,000 more than the guide price – for Unit 2, a logistics building with extensive frontage on to the Dublin-Belfast motorway at Swords Business Park.

Unit 2 incorporates a 1,673sq m (17,997sq ft) of warehouse space and 639sq m (6,878sq ft) of offices. which are let to DVS Roads Ltd under a 25-year lease from 1997 at a current annual rent of €280,000.

The two investments to be retained by Magellan are the eight-storey Deloitte & Touche office building at 1 Upper Hatch Street, Dublin 2 and the mixed-use retail and office investment known as Maple House directly opposite Stillorgan Shopping Centre.