John Lally’s Dublin 18 offices sold for €5.7m

Friends First has emerged as the purchaser of a recently vacant office building in South County Business Park in Leopardstown, Dublin 18.

The fund has paid in excess of €5.7 million, €200,000 more than the guide price issued by JLL, for Pelham House, a 10-year-old building extending to 2,469 sq m (26,585 sq ft) and with 44 on-site car parking spaces. The block was owned by property developer John Lally who has a number of property loans being managed by Nama.

Lally’s Lalco hotel group is currently operating a string of hotels for other owners.

Pelham House was occupied until recently by MSD Ireland, formerly known as Merck Sharp Dohme. The rent roll was €575,700, equating to €215 per sq m (€20 per sq ft) and 1,000 for car parking spaces.

MSD has since relocated to substantially larger premises in the park.

Pelham House won the RIAI award for “Best Public Building” in 2004 when it was noted by the judges for its “outstanding quality”. Friends First are unlikely to have much difficulty in finding a tenant for the block because of its distinctive appearance and the scarcity of this size of building in south country Dublin.