€233m Square set to draw in buyers
International investors may be enticed as buyers for The Square Tallaght shopping centre, which has gone up for sale for €233m.
Joint agents Cushman & Wakefield and JLL are quoting in excess of €233m for the controlling interest in the centre, described as a “long-anticipated sale”.
The 577,500 sq ft scheme originally opened in 1990 and sits on a site of about 27 acres, state the agents.
Anchored by Tesco, Debenhams, and Dunnes Stores, The Square sees 22m people per annum coming through its doors, said the agents.
Cushman & Wakefield and JLL said they expect considerable interest in the sale from both domestic and international investors. The sale is on instructions of Nama.
The new owners will hold 118 of the 160 shop units in the centre, including a 13-screen cinema. Tenants also include River Island, H&M, New Look, Heaton’s, Boots, Argos, Nando’s, Starbucks, and IMC cinema. It has a sizeable food offering and over 2,400 car spaces.
The head of investments at Cushman & Wakefield, Kevin Donohue, and JLL chief executive John Moran said in a statement: “The Square Tallaght provides investors with an opportunity to control one of Dublin’s largest regional shopping centres and offers the ability to participate in the Irish retail market at a time when retail sales are on an upward trajectory and the Irish economy leads the way in the EU.
“The asset offers investors long-term secure income with immediate ability to drive this forward via existing development and asset management opportunities, which will further enhance The Square as one of Ireland’s top shopping destinations.”
The shopping centre was the source of a court battle earlier this year because of added development being given permission to go ahead back in 2014.
Dunnes Stores had objected to the proposed additions to the northern and southern end, but the courts decided redevelopment could go ahead.
New buyers would be allowed a northern extension which includes a new two-level department store with a lettable area of approximately 65,000 sq ft, together with eight retail units over approximately 80,000 sq ft.
The southern extension provides for a single-level unit with a lettable area of approximately 60,000 sq ft.
The extensions will see the existing car parking provision increase to over 2,800 spaces with the addition of a six-level multi-storey car park.
The centre generates almost €14m in rental income, while the new owners would have a return of 5.75%.
The Square Tallaght is up for sale for €233m. The 577,500 sq ft scheme was originally opened in 1990 and sits on a site of approximately 27 acres. The new owners will hold 118 of the 160 shop units in the centre, including a 13-screen cinema.