€750,000 sought for abbey crèche

Savills is seeking €750,000 for a creche investment in the grounds of the historic Loreto Abbey in Rathfarnham, Dublin 14. The stand-along single-storey building extends to more than 353.5sq m (3,805sq ft) and was reconfigured to comprise a purpose-built creche during the construction of an adjoining apartment block.

There is a secure outdoor play area and eight car-parking spaces available by way of a licence agreement, which runs coterminous with the lease.

The creche is let to Giraffe Childcare Ltd on a 25-year lease from 2007 subject to a break clause at the end of the 18th year. The current rent is €70,000 per annum. Giraffe Childcare is Ireland's largest pre-school provider, with 21 creches trading in the greater Dublin area.

Loreto Abbey, a distinctive Georgian building, is now used as an Irish-language post-primary school. Kevin McMahon of Savills, who is handling the sale, said he was expecting a strong interest in the investment because of the good unexpired term of 9.4 years remaining on the lease and the attractive yield available of almost 9 per cent.

Meanwhile, REA T&J Gavigan is also planning to either lease or sell a purpose-built creche within walking distance of Kells town centre in Co Meath. The purpose-built crèche extends to 266sq m (2,872sq ft) and is housed in a two-storey building with a range of rooms fitted out for crèche use. There is also an outdoor play area with rubber mulch ground covering.

The auctioneers are quoting a rent of €18,000 for the creche or a selling price of €250,000