Urban Green Private, the real estate investment firm headed up by Tom Coughlan, has completed its acquisition for about €23 million of Douglas Village Shopping Centre in Cork.
The scheme, in the heart of Douglas village and just 3.5km south of Cork city centre, extends to 21,863sq m (230,000sq ft) on a 2.47-hectare (6.1-acre) site and is Ireland’s second-oldest shopping centre after Stillorgan Shopping Centre, having first opened for business in 1971.
And while it underwent a substantial redevelopment in 2007 involving the addition of a 1,000-space multistorey car park, it was that extension that saw it make the news in 2019 when a vehicle went up in flames, allegedly resulting in a major fire and “immense damage”. The blaze destroyed 49 cars and caused steel girders in the structure to buckle. When engineers declared the car park to be unsafe, it was demolished and rebuilt.
Douglas Village is anchored by Tesco and Marks & Spencer, and counts TK Maxx, Eurogiant, Bank of Ireland and Petstop among its tenant line-up. All the retail units and kiosks are on the centre’s ground floor, while a library and gym are overhead. A popular farmers’ market trades on the plaza outside Marks & Spencer on Saturday mornings.
The total current rental income is €2,407,282 annually, and the weighted average unexpired lease term is seven years to break options and 11 years to expiry. Marks & Spencer, TK Maxx, Bank of Ireland, Eurogiant and Cork City Council contribute to 54 per cent of the total income.
Following a competitive process, Urban Green Private, which was represented by TWM, agreed a deal to buy the scheme in December. The transaction, the details of which were first reported by The Irish Times, was completed last week. Commenting on the sale, Karl Stewart and Peter O’Flynn of Cushman & Wakefield said: “The strong interest and competitive process for Douglas Village Shopping Centre highlights the continued demand within the investment market for well-located retail assets in Cork and other key locations.
