N. Charleston-based InterTech closes $18M real estate deal in Ireland
Just ahead of St. Patricks Day, an affiliate of The InterTech Group Inc. has made a substantial investment in commercial real estate in Ireland’s capital.
The North Charleston-based company said it has completed the estimated $18.4 million acquisition of SAP’s offices in a development near downtown Dublin called Citywest Business Campus.
The deal is the largest office transaction outside of Dublin City Centre during the past year, according to a statement.
“We are thrilled to have closed on this excellent investment,” said Rob Johnston, InterTech’s executive vice president and chief strategy officer. “We are very excited about investing in Ireland and look forward to building a large portfolio of high quality commercial and industrial real estate.”
The 75,052-square-foot Citywest development was built in 2000 and was extensively refurbished in 2010. It includes 280 parking spaces.
The property is fully leased to German software firm SAP, which pays the U.S. equivalent of $2.13 million a year in rent, for an net initial return of more than 11 percent.
“This provides The InterTech Group Inc. with a very attractive yield from an extremely strong covenant in a modern building that, risk-adjusted, would be difficult to find across the United States and Europe,” said Jacqueline Fitzpatrick of the real estate firm Savills, which advised the company on the purchase.
InterTech is a large global holding company controlled by Zucker family of Charleston. It invests in manufacturing businesses, such as aerospace and specialty chemicals. It also has an active investment arm that seeks opportunities in the leisure, financial and real estate markets.
Reach John P. McDermott at 937-5572