Ballsbridge mixed-use investment with scope for residential development seeks €3.6m

Agent BDM Property is guiding a total of €3.6 million for a mixed-use investment with longer-term potential for residential development in the heart of Ballsbridge, Dublin 4.

Located directly across the road from the entrance to the RDS, the property, comprising 16-18 Merrion Road and the adjoining cottage at 2 Ballsbridge Avenue, is being made available for sale in two lots. Lot 1 comprising the entire is guiding at €3.6 million, while Lot 2 excludes the cottage and is seeking €3.2 million.

The investment currently generates a combined annual rental income of €265,090 from three established commercial occupiers, namely Ladbrokes, Base Pizza and Baan Thai, and the one-bedroom cottage, which is separately let. The upper-floor office space at 18 Merrion Road is vacant at present and offers the incoming owner scope for future letting or alternative use, subject to planning permission.

Ladbrokes occupies the ground floor of 16 Merrion Road and is paying an annual rent of €136,690 under a 35-year lease from 1997. Baan Thai occupies the first floor of number 16 and is paying an annual rent of €44,000 under a 15-year lease commencing in 2017, while Base Pizza occupies the ground floor of number 18, paying €70,000 in rent a year under a 25-year lease commencing in 2011. The cottage generates a further €14,400 in annual rental income.

The subject property also offers potential for residential development. A previous planning permission provided for eight residential units associated with the rear yard, cottage and the upper floors of the units on Merrion Road.

Declan Bagnall of BDM Property, says: “Opportunities to acquire a prominent, income-producing property in such a sought-after Ballsbridge location are rare. The established tenant profile and substantial passing rental income provide an attractive foundation for investors, while the vacant upper-floor accommodation and potential for future residential development offer scope to explore additional value over the longer term.”