High net worth private investors and institutional buyers looking for opportunities in the sub €10 million bracket may be interested in the sale of Unit 6B at Northern Cross Business Park in Finglas, Dublin 11.
The subject property, which is being offered to the market by agent CBRE at a guide price of €6.75 million, is fully let to DX Network Services Ireland Ltd on a 10-year lease with no break option from July 2021 at an annual rent of €265,000, rising to €315,000 in the fourth year of the lease. There is an open-market rent review at the end of the fifth year of the term.
DX Network Services is an end-to-end mail, parcels and logistics network operator providing services throughout the UK and Ireland, with multiple separate service offerings. DX Freight provides a next-day and timed delivery, while DX Express is focused on next-day or scheduled courier deliveries, as well as providing secure services for the delivery of items of value. DX Express also operates DX Exchange, a private members delivery network catering mainly for the legal, financial and public sectors. DX Tracked Specimens is a specialist service for the delivery of medical samples and specimens. Prospective purchasers of the subject property will note that the company has a Vision Net rating of 100 per cent, which represents a “low trade risk”.
Unit 6B comprises a detached headquarter warehouse facility with ancillary three-storey accommodation, situated on a site of 0.6 hectares (1.5 acres). Built in 2003, the warehouse is of steel-portal frame construction and extends to 2,690sq m (28,955sq ft), with an insulated Kingspan panel metal-deck roof incorporating translucent panels. There are in-fill concrete block walls to a height of 2.4m. Internally the warehouse specification includes a reinforced sealed concrete floor and LED lighting throughout, with a clear internal height of 15m, in line with that of new-build logistics facilities. Loading access is provided via two dock levellers and two grade-level roller shutter doors, and the property has a 28m-deep yard.
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The office accommodation extends to 889sq m (9,569sq ft) and includes a reception area, suspended ceilings with recessed LED lighting, double-glazed windows, plastered and painted walls, a mixture of wooden and carpeted floors and gas-fired radiators. There is a staff canteen and shower-room facilities and car parking for 38 cars.
Surrounding occupiers at Northern Cross include Harvey Norman, Creative Technology Ireland, McLoughlins, Hilti Ireland, Cummins, Ammega Belting Ireland, CJK, U-Store It, Screwfix and Howdens.
Northern Cross Business Park is an actively-managed scheme with immediate access to the M50/N2 motorway junction. The park is located 8.5km northwest of Dublin city centre, 11km southwest of Dublin Airport and 9.5km west of Dublin Port Tunnel.
Should a sale proceed at the €6.75 million guide price the buyer will be in line for a net initial yield of about 3.57 per cent, rising to just over 4 per cent next July.
Stephen Mellon of CBRE says: “This asset offers a strong tenancy, an attractive term certain and excellent reversionary potential.”
