Group pays £6.6m for Dundrum site

A CONSORTIUM led by two Dublin businessmen, Mr Paschal Taggart and Mr John Clohessy, is planning to develop a major shopping centre, leisure complex and residential scheme on part of the former Pye lands in Dundrum, Dublin 14, which they acquired yesterday for £6.6 million.

The entire development is likely to have an end value of around £40 million. The consortium has purchased 17.6 acres from a receiver acting for ACCBank. Mr Fintan Gunne, of Gunne estate agents, advised the receiver.

The new owners have also reached agreement with Quinnsworth to develop the new shopping centre on a larger site which would include an area of five acres currently occupied by a Crazy Prices supermarket. Quinnsworth will take over ownership of a 40,000 sq ft anchor store in the shopping centre which will have a total area of 200,000 sq ft.

The centre is also likely to be considered by major tenants like Marks and Spencer, Debenhams and Boots which are known to be anxious to gain a foothold close to the prosperous south Dublin suburbs.

Mr Taggart is chairman of the company developing the Jervis Street Shopping Centre in the centre of Dublin and is already on good terms with these multiples following their decision to trade there. Mr Clohessy operates the franchise for the Spar chain of convenience shops.

Access to the Dundrum site will be considerably improved over the next few years with the completion of the Dundrum bypass and its link up with the Wycham bypass which will run from Sandyford Road to Ballinteer.

The consortium will have to sell about five acres to the local authority for the Dundrum by pass which was partially developed in recent years.

Mr Taggart's group is also to seek planning permission for a multiplex cinema complex, restaurants, a small office scheme and a mixture of apartments and houses. It is understood that the current zoning of the land will allow for the development proposed by the consortium.

The owners of the existing shopping centre in Dundrum are likely to campaign against the granting of planning permission for the proposed complex. Dundrum Shopping Centre is owned by the Irish Pension Fund Property Unit Trust, which earns close to £1 million annually in rents from the 90,000 sq ft of Retail space.