UK-headquartered private equity real estate manager Henderson Park is understood to have secured about €34 million from the sale of the Arena Centre in Tallaght, Dublin 24.
The mixed-use scheme, which is located next to Tallaght Stadium and almost directly opposite the landmark Square Shopping Centre, has been acquired by UK and European real-estate investment manager M Core. The Arena Centre is the company’s first investment in the Irish market.
The sale of the property comes just over five years on from its purchase by Henderson Park, which secured ownership of the scheme as part of its record-setting €1.34 billion purchase of Green Reit.
The Arena Centre extends to 29,858 sq m (321,385 sq ft) in total and consists of a mix of retail, office, and hotel accommodation. The development is 98 per cent occupied and home to anchor tenants including Bank of Ireland, Woodie’s DIY, and the Maldron Hotel which includes an adjoining leisure centre, and a central surface car park which provides car parking for retail customers.
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It is situated just minutes from the Luas Red Line, the M50 motorway, and the N81.
While the €34 million paid by M Core is substantially less than the €65 million guide price Green Reit attached to the Arena Centre when it first looked to sell the scheme in 2016, the current sale did not include 63 apartments that were included as part of that original process.
[ Henderson Park seeks €45m for Arena Centre in south DublinOpens in new window ]
Green Reit sold the apartment portfolio to UK-based SeaPoint Capital for €9.25 million in 2017. Also excluded from the latest sale was the Arena Centre’s Lidl store, which is owner-occupied, and a further 167 apartments which are held by a mix of owner-occupiers and private investors.
The Irish Times understands also that M Core sold the Woodie’s premises to another investor upon the completion of the €34 million deal with Henderson Park.
Henderson Park’s decision to sell the Arena Centre is consistent with its strategy of disposing of certain assets from the Green Reit portfolio and investing the proceeds in its Irish development pipeline.
M Core says it plans to invest significantly in the Arena Centre as part of its management strategy. Early improvements are expected to include the installation of digital display screens, EV chargers in partnership with Pogo, as well as food trucks and kiosks.
David Nolan, associate director at M Core said: “I grew up in Dublin, not far from Tallaght, and I’ve watched the area evolve over the years. That local insight proved invaluable when shaping our business plan for the Arena Centre.
Agent JLL advised Henderson Park on the sale of the Arena Centre. M Core was represented in the transaction by Cushman & Wakefield.
