5th Jun 2014 08:36
LONDON (Alliance News) - Kennedy Wilson Europe Real Estate PLC said Thursday it has entered into agreements to acquire two properties in Dublin, the Portmarnock Hotel & Golf Links and the Liffey Trust Building, in deals worth approximately EUR44.6 million.
The closed-ended investment fund that invests primarily in real estate and real estate loans in Europe said it has entered into agreements to acquire two further properties in Dublin, to be paid out of the company's cash resources.
Kennedy Wilson manages GBP8.5 billion of property assets across the US, Europe and Japan.
The Portmarnock Hotel & Golf Links deal will see Kennedy Wilson acquire the 138-room seafront hotel and Bernard Langer designed 18-hole golf links for a total of EUR29.8 million. The property and the operating business are being acquired pursuant to an asset and business purchase out of receivership from Mazars, said the company.
The acquisition is expected to complete in early July 2014. Kennedy Wilson said that upon completion, it intends to add value through both further strategic investment and capital expenditure, as well as through the appointment of a proven operator to the currently unbranded hotel.
The Liffey Trust Building deal will see the company acquire an 81 unit multi-family scheme in the Liffey Trust Building in Dublin, from a subsidiary of the Irish Bank Resolution Corporation for a cash consideration of approximately EUR14.8 million.
The deal is set to complete later this month. The asset is currently running at 95% occupancy, said the firm, and upon completion of the acquisition, it intends to enhance the tenant offering which it said should underpin rental growth over the next few years.
"The acquisition of this boutique and profitable hotel and golf course at an attractive price and a high quality income producing multi-family scheme are both very strong additions to our growing portfolio and are in-line with our stated investment strategy," said Mary Ricks, President and CEO of Kennedy Wilson Europe.
Last month the company agreed to acquire two Irish property portfolios - its first Irish acquisitions - in transactions worth more than EUR400 million; a portfolio of residential and commercial properties in a deal worth EUR88.1 million and a number of properties located across Dublin, with one in Cork, comprising seven office and six retail properties, in a deal worth EUR391.4 million.
Shares in the company were trading 2.09% higher at 1,077 pence per share Thursday.
By Alice Attwood; [email protected]; @AliceAtAlliance
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