A BLOCK of 25 apartments close to the Dublin City University campus at Ballymun Town Centre, Dublin 11, with a potential rental income of €218,000 per annum, is to be offered for sale in a single lot at €2.5 million by agent Hooke MacDonald.
The Westmeath-based Bennett Construction has managed to let all the apartments in College View since they were completed early in 2008. All but one of them are two-bedroom units which rent at an average of €740 per month. The one-bedroom facility makes €660 per month.
The current rental income of €193,000 is due to rise to €218,000 once the apartments held back for viewing purposes have been let.
Apart from its good letting record, College View has the added bonus of the soon-to-be-abolished Section 23 tax relief which will allow a purchaser to avail of tax concessions on 85 per cent of the purchase price. At a €2.5 million selling price, the apartments will have a revised value of around €100,000 each.
Enda Moore of Hooke MacDonald says that whoever acquires the investment will be able to avail of tax-free rental income on College View and all other property owned in Ireland.
Even as it stands, the investment would show an income yield of 11.4 per cent before any tax savings are taken into account.
