GROSVENOR Estates, the property company run by the Duke of Westminster - one of Britain's richest people - has confirmed it is to invest in the Quarryvale centre. The centre is being developed by the Cork based O'Callaghan Properties.
The financial details were not disclosed in an announcement from O'Callaghan Properties, but The Irish Times reported over a month ago that Grosvenor would invest £60 million for a substantial stake in Quarryvale, the size of which has not been disclosed. It is understood, however, that Grosvenor and O'Callaghan will have equal shares in the development.
Informed sources said the £60 million being injected by Grosvenor would cover most of the development costs for Quarryvale and that O'Callaghan Properties having brought the development through the zoning and planning stage - would, in effect, have a carried interest in the development while retaining day to day responsibility for bringing the centre on stream in 1998.
O'Callaghan has spent more than £20 million assembling the 180 acre site and securing planning permission for the 252,000 sq ft shopping centre.
Yesterday's statement from Grosvenor also confirms that Marks & Spencer and C&A will be two of the anchor tenants for Quarryvale, which is situated west of Dublin at the junction of the N4 route to the west with the M50 motorway.
Marks & Spencer is to lease, 123,000 sq ft to open 80,000 sq ft of selling space - substantially bigger than the 67,000 sq ft store being developed by M&S on the former Brown Thomas site in Grafton Street in Dublin.
C&A has also agreed terms with the developers for a 22,000 sqft store, the first time that the British retailing group has entered the Irish retailing market.
C&A spokesman Mr Alastair Gordon said: "We look forward to trading in Ireland from this accessible location."
C&A is the latest in a string of British retailers which have set up or are planning to set up operations in Ireland.
No other major multiple has yet agreed to take space in Quarryvale, although it is under stood Quinnsworth has looked closely at setting up a major store in the centre. Superquinn is thought to be another prospective anchor tenant in addition to M&S and C&A. No lease details were given for the M&S and C&A stores, but property sources said that rental charges for space of this type were in the region of £30 a square foot.
The arrival of M&S and C&A as anchor tenants is a major boost for Quarryvale and will undoubtedly stimulate interest in the 70 smaller units in the centre. Work on the roads and infrastructure for the centre will begin by the end of this month with construction due to begin in early 1997.
The investment by Grosvenor only covers the shopping centre and O'Callaghan Properties will control the remainder of the site, which has planning permission for a 150 bedroom hotel, a multiplex cinema, a public house, drive through restaurant and 600,000 sq ft of commercial buildings.
