FOR SALE BY PRIVATE TREATY - RETAIL INVESTMENT OPPORTUNITY - GALWAY CITY - Amazon S3
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RETAIL INVESTMENT OPPORTUNITY
FOR SALE BY PRIVATE TREATY
(Tenants not Affected)
GA LWAY CI T Y
G C1
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T Y
Investment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Investment Summary
Shopping centre is being sold in
High yielding its entirety, 98,925 sq ft
retail (9,190 sq m) with a substantial
investment car park extending
opportunity to 576 car
€
parking
576
7
Established modern
spaces
shopping mall located in
Total net operating Galway city centre WAULT of
income of
c.5.46 years
€1,846,707 to expiry and
Long-term
per annum development c.5.38 years
with reversionary
potential opportunity to break
Freehold 9.08% Guiding excess €18.5 million reflecting a net initial yield
of 9.08%, assuming standard purchaser’s costs of 9.96%
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T Y
Investment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Strong tenant line-up
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T Y
Investment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Irish Economy & Retail Snapshot
GDP Population Unemployment rate Retail Sales Income
The Irish economy continues to be the Ireland has the youngest In September 2021 the standard Core retail sales values (ex. According to preliminary estimates
fastest growing economy in the EU. population in Europe with measure of monthly unemployment motor) rose by 9.2% in the year from the CSO, average weekly
Estimates for Q2 2021 show Irish GDP up 33% of the population was at 6.4%. The COVID-10 Adjusted to August 2021 while volumes earnings in Ireland were €849.69 in
by 21.1% y/y or 6.3% q/q, with the Irish under 25 years of age. Measure of Unemployment stood at increased by 6%. Q2 2021, an increase of 3.9% relative
economy now 20% larger than in Q4 2019. 10%, down from 12.4% in August. to Q3 2020.
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T Y
Investment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Location
Galway is the largest urban centre and the
premier retail and leisure destination on
the west coast of Ireland, with a population
of 360,000 within a 60km radius.
The city is extremely popular with tourists, both domestic
and international, with Tourism Ireland reporting
pre-covid levels of 1.7 million international tourists and 1
million domestic visitors to Galway city and county. The
city has a host of leisure and cultural amenities such as
The Latin Quarter, Galway Cathedral and Quay Street.
The city has a young, vibrant and highly skilled
workforce, underpinned by its two 3rd level
institutions; - National University of Ireland, Galway
(NUIG) and Galway Mayo Institute of Technology
(GMIT) – with a combined student population of
approx. 25,000. Belfast
Corrib Shopping Centre boasts an excellent profile Knock
being just a stone’s throw from the renowned Eyre Square,
home to a number of hotels and hostels in the immediate M1
GALWAY
M3
area and just minutes away from Shop Street, the main M6 M4 M2
high street, home to retailers such as River Island, Fields M50
Dublin
Jewellers, Sketchers, Vodafone, AIB, Easons, Holland & M7
Barrett, Schuh and McDonalds among others.
M18
Shannon
M11
M9
The scheme is highly accessible being a 5-minute walk
M20
Limerick
from Galway Train & Bus Station and a 4-minute drive M8
to the N6 National motorway offering ease of access
to the immediate catchment area.
Cork
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T Y
Terryland
Investment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Castlegar
Galway City
Galway 39
N86
Racecourse N3
3
4
N8
Briarhill
4
N8
N59
N6
Terryland
N6
Riv
Ballybrit
36
er
N3
or N6
C
N3
39
Mervue
r ib
N86
City Centre
4
etteragh
Riv
N6
er
N5
or
C
7
r ib
N865
Letteragh
N338
39
Dyk
N3
Lough
Rde
Atalia
38
dR
N3
ord
adf
He
re
St.
Brid
mo
National University of Ireland
get N3
er
’s P
lac 38
th
e
Bo
38
The Western Hotel
N3
Univ
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Westend ity
Rd tha
Ave
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Bre
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St.
in R
7 Galway Cathedral
N33
New
Irw
to
wns
The Imperial Hotel
64
mith
N8
Gao
Bus & Train Station
St
l Rd
The
ry
Ma
Eyre Square
36
N3 Claddagh Ab
be
St
at
io
en
nR Fa
8
y ga irg
Galway
N33
re
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te
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St
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Golf Club
n
Presentation Rd
am
Up
wli
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illi
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W
ke
Salthill Ma
r
Ab The Hardiman Hotel
Ru
be
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ga
Galway Bay Mi
Lombard St
te
Isla
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The Latin Quarter St
St
t
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Sh
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N336
St
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St
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on
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Dom
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Doc
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Quay Street
Sp
a nis
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ar
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By Car By Bus By Rail By Air
Excellent road infrastructure – 2 hr drive Numerous Local and Excellent inter-urban rail 2 international airports
d
aR
by motorway from Galway to Dublin National Bus Routes connections to Dublin and Limerick within 1 hr drive
Se
Cla
7
N33
dd
ag
hQ
ua
y
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T Y
4
86
Investment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
ST. BRENDAN’S AVENUE
BOTHAR NA MBAN
EYRE STREET
IRWIN ROAD
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T Y
Investment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Demographics
County Galway
Based on a 30 minute drivetime from the subject property:
160,861 58,117 32.9% 30
People households within of the catchment is
the catchment,
representing an
within the top tier
social class of
20
average professional managerial,
household of
2.7 persons
technical and
non-manual workers
10
Category of Spend Spend in Catchment Area
Purchasing Power €3,367,275,000
Comparison Goods €123,000,000
Convenience Goods €135,000,000
Food & Beverage €302,835,000
Clothing €88,890,000
Total Expenditure €1,099,757,000 10 MINUTES 20 MINUTES 30 MINUTES
Population Population Population
56,406 112,696 160,861
The catchment area for Corrib Shopping Centre includes the greater County Households Households
Households
Galway in addition to south Mayo following the 30-minute drive-time. 21,578 41,537 58,117
A 45-minute drive-time further extends the catchment area to neighbouring
counties Roscommon and North Clare.
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T Y
Investment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Key retailers within the centre include the
only Marks and Spencer store in the west
of Ireland, in addition to Sports Direct,
Peter Mark and Carraig Donn. Drawing
strong footfall through the scheme with
approx. 3.27 million annually (2019).
The opportunity includes a remarkable c.
210m of street frontage along Eyre Street,
Bóthar Irwin and Bóthar na mBan. The centre
is a modern retail scheme extending to
Description
approximately 98,786 sq ft (9,177 sq m) with
nine ground floor units, with Sports Direct’s
unit occupying from four floors of retail
accommodation. The 576-space multi-storey
car park provides reliability of access for
the extensive catchment area given its city
centre location.
Located at the heart of Galway city
centre, Corrib Shopping Centre offers The scheme is in high demand, boasting an
superb international and national occupancy rate of over 99% with one 790
sq ft unit currently vacant. The Weighted
brands complimented by a mix of local Average Unexpired Lease Term (WAULT) is
independent retailers offering an 5.46 years to expiry and 5.38 years to break
appealing range of retail services with a total passing rent of €1,846,707 per
annum*, with Sports Direct, Marks & Spencer
including clothing, sporting goods, and the car park accounting for 74% of the
healthcare and convenience retail. current rental income.
*Figure includes turnover assessment for Sports Direct of €465,000 per annum, which reflects 5% of turnover (net of VAT), which is forecasted approx. €12,700,000 by the tenant
for the 12 month period starting June 2021, exclusive of the landlord service charge liability
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T YInvestment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Income Profile
The top two tenants by rent are Sports Direct and Marks & Spencer who account for a 55% of the total income. Together with the car park income
they account for 76% of the total rent roll.
The car park is held by way of a 20-year lease from Galway County Council, expiring in March 2036 (approx. 14.44 years). The car park is operated by way of a profit share agreement with Galway County
Council, whereby the profit after all operational costs and any capital expenditure / ppm works is shared. The Council receives 60% of the net profits while the lessee receives 40%. Rent is paid quarterly
based on the accounts from two years previously. Whilst purchasers will need to rely on their own analysis, the current owner projects average income of €385,000 per annum over the life of the lease, based
on net profits in 2019 and allowing for capital expenditure.
Top 5 Occupiers by Income Income Profile
14% Sports Direct Local
25% 22%
Marks & Spencer National
5%
Car Park International
5% Carraig Donn
65%
Headlines Newsagents 13%
21% Other
30%
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T YInvestment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Accommodation Schedule
Tenant Unit Ground First Second Third Fourth Area (SF) Car Spaces
Marks & Spencer B 27,534 0 0 0 0 27,534
Sports Direct A 10,533 20,953 20,592 11,756 800 64,634
Car Park n/a 576
Carraig Donn 7,8 1,444 1,444
Headlines Newsagents 3,4 1,530 1,530
Walsh’s Pharmacy 1,2 1,057 1,057
Peter Mark 9 1,130 1,130
Park Jewellers 6 390 390
Jump Juice Bar Ltd Kiosk 416 416
Vacant 5 790 790
Total Space Occupied 98,925
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T YInvestment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Shopping Centre Tenancy Schedule
WAULT of c.5.46 years to expiry and c.5.38 years to break.
Trading as Unit Area (SF) Term Lease Start Lease End Rent Review Review Type RR Frequency Break Option € Current
Marks & Spencer B 27,534 20 01/05/2005 04/08/2025 04/05/2020 U/O 5 yrs €550,680
Sports Direct A 64,634 10 28/04/2021 27/04/2031 28/04/2026 U/O 5 yrs 27/04/2026 (LL) * €465,000 **
Carraig Donn 7,8 1,444 10 01/05/2016 30/04/2026 31/07/2025 €90,000
Headlines Newsagents 3,4 1,530 34 01/05/1991 31/07/2025 €90,000
Walsh’s Pharmacy 1,2 11,057 34 01/05/1991 31/07/2025 U/O 5 yrs €75,000
Peter Mark 9 1,130 34 01/05/1991 30/04/2026 U/O 5 yrs 30/04/2024 €65,000
Park Jewellers 6 390 1 01/05/2021 30/04/2022 U/O 5 yrs €30,000
Jump Juice Bar Ltd Kiosk 416 5 01/04/2018 31/03/2023 €30,000
Crystal Valet n/a 0 5 01/10/2016 30/09/2023 U/O €22,000
Clear Channel Ireland (Car Park) n/a 0 5 01/12/2017 30/11/2022 €19,000
Meteor n/a 0 10 02/02/2017 01/02/2027 Rolling (LL) €14,000
Clear Channel Ireland (Centre) n/a 0 5 01/12/2017 30/11/2022 €7,000
AIB ATM n/a 0 30 01/05/1991 30/04/2021 5 yrs €4,027
Vacant 5 790 €0
Total Space Occupied 98,925 €1,461,707
* Landlord only break option. ** Reflects 5% of turnover (net of VAT), which is forecasted at approx. €12,700,000 by the tenant for the 12 month period starting June 2021, exclusive of the landlord service charge liability. Sports Direct have the benefit of a 2 year rent free
period, expiring April 2023, which will be underwritten from the Sale Price at €465,000 per annum.
Car Park Tenancy Schedule
Leasehold interest and profit share agreement in Corrib Shopping Centre Car Park.
Tenant Unit Area (SF) Term Lease Start Lease End Rent Review Review Type RR Frequency Break Option € Current
Car Park n/a 20 30/03/2016 30/03/2036 €385,000 ***
*** Refer to income profile section for detail on car park income.
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T YInvestment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Asset Management Initiatives
Vacant Units
Letting Unit 5 to achieve 100% occupancy.
s
ller
ewe
Improve WAULT Par
kJ
D
ROA
59.75% of the income has a term certain of less
than 5 years. Opportunity to increase the WAULT IN ant
Development Potential
IRW
Vac
EYR
by re-gearing existing leases and new lettings.
es
dlin s
Hea agent Conversely, a view could be taken to
ES
s
New redevelop the centre, together with the
lshs
TRE
Wa macy extensive service yard, given its prime
a r
Ph location 50m from Eyre Square, which
ET
may be suitable for residential and leisure
purposes (SPP).
Jum This would be achievable by;
• M&S vacating at the end of their term
BOTHAR NA MBAN
p
in 2025.
• Exercising the landlord break option for
Sports Direct in 2026.
• Finding an agreement with the remaining
parties (most of which will have reached
expiration of their lease.
• Galway City Council, with whom
the freehold of the carpark is held, may be
amenable to selling their freehold interest
and consolidating the site which would
then total over 1.8-acres.
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T YInvestment Summary Irish Economy Location Demographics Description Income Profile Accommodation Tenancy Asset Management Contacts
Service Charge Proposal
The operating costs of Corrib Offers are sought of excess €18.5m,
Shopping Centre is based on the reflecting a net initial yield of 9.08%
Vendors reasonable estimate assuming standard purchasers’ costs
of the likely amount of service of 9.96%.
charge expenditure to be incurred
throughout the forthcoming year.
Data Room
The apportionment of the A data room containing legal
service charge between tenants documentation and background
is calculated on the basis of the information is available at
proportion that the floor area of https://corribshoppingcentre-galway.com
an individual demised unit bears to
the total floor area of all applicable Access to the site is restricted and will
units forming part of the centre. be granted on acceptance of the NDA.
The service charge (net of VAT)
for 2021 totalled €431,802. Viewings
Further details are available in All viewings are strictly by appointment
the data room. through the joint selling agents.
Tenure
Freehold
Planning
The subject property is zoned
M2 - City/Town/Village Centre,
central area under Galway City
Development Plan 2017-2023.
BER G C1
VAT
We understand transfer of business
relief will apply to the sale.
C O R R I B S H O P P I N G C E N T R E / G A LW AY C I T YContact Details Cushman & Wakefield Colliers 164 Shelbourne Road, Ballsbridge, Dublin 4 Hambleden House, 19-26 Pembroke Street Lower, Dublin 2. PSRA No: 002222 PSRA No: 001223 Peter Love Michele McGarry T: +353 1 639 9612 T: +353 1 633 3738 E: peter.love@cushwake.com E: michele.mcgarry@colliers.com PRSA No. 002222 – 005657 PRSA No. 001223 - 001389 Karl Stewart Stephen Conway T: +353 1 639 9347 T: +353 1 633 3726 E: karl.stewart@cushwake.com E: stephen.conway@colliers.com PSRA No. 002222 - 008538 PRSA No. 001223 - 002868 Patricia Staunton Edmund Douglas T: +353 91 865 525 T: +353 1 633 3700 E: patricia.staunton@cushwake.com E: edmund.douglas@colliers.com PSRA No. 002222 - 004459 PRSA No. 001223 - 004595 Solicitor Maples & Calder (Ireland) LLP, 75 St. Stephen’s Green, Dublin 2. T: +353 1 619 2000. Conditions to be noted: 1. These particulars do not constitute an offer or contract or any part thereof and none of the statements contained in the particulars as to the property are to be relied on as a statement of fact. 2. The vendor does not make or give, nor is the Agent(s) or its staff authorised to make or give any representation or warranty in respect to this property. 3. All descriptions, dimensions, references to condition and necessary permission for use and occupation, and other details are given in good faith and are believed to be correct but any intending purchaser or tenant should not rely on them as statements or representations of fact but must satisfy himself/herself by inspection or otherwise as to the correctness of each of them. 4. In the event of any inconsistency between these particulars and the contract for sale, the latter shall prevail.
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