Maxol to make over £7m on sale of industrial estate, site

OIL distribution company Maxol is expected to secure in excess of £7 million from the sale of two Dublin commercial properties an industrial estate close to Dublin Airport and a development site near the entrance to the Phoenix Park at Parkgate Street, Dublin 8.

Estate agents Davin and Co is likely to fetch more than £4 million for the Airport Industrial Estate at Santry when it offers it for sale at auction on May 29th.

Terms are understood to have been agreed at around £3 million for the sale of the development site to Brian Rhatigan, who is completing the Custom House Plaza office scheme at the International Financial Services Centre.

Maxol is involved in a major expansion of its petrol business, recently acquiring 80 stations.

The Airport Industrial Estate is currently producing an income of £355,000, a figure that is expected to rise to about £400,000 when two rent reviews are completed before the end of the year.

A price of £4 million would produce a yield of around 9 per cent on the projected rent. Davin says that with six rent reviews due over the next IS months, the rent roll should show a "significant growth".

The industrial estate, dating from the late 1970s and early 1980s, is located about two miles from the airport, directly opposite the Airways Industrial Estate and next door to Ken Rohan's recently completed Furry Park estate.

There are six individual buildings on the Maxol estate, with about half of the 113,000 square feet occupied by Irish Express Cargo. Rehab operates a glass treatment centre from a 22,000-square-foot unit.

Davin says an existing car-park in the centre of the site could accommodate a new building. There was also the potential to redevelop buildings at the front of the site.

Dublin Corporation has given notice of its intention to grant planning permission for the redevelopment of the three-acre site along the Liffey Quays at Parkgate Street.

The scheme will include 50,000 square feet of commercial buildings aimed at computer companies and firms involved in manufacturing and assembly. A total of 86 apartments will also be provided on the site, along with 216 car-parking spaces.

The site includes Parkgate Hall, a large period building with planning permission for conversion into a 177-bedroom hostel. It expected to be offered for sale shortly through Davin and Co.