Savills, the international real estate advisor, has today announced the sale of the National Portfolio to Davidson Kempner. The estimated sale price, in excess of €175 million, equates to an initial yield of approximately 6.5%.

The National Portfolio comprised 5 well-located retail parks and, at over 1.1 million sq. ft. , represented the largest Irish real estate asset opportunity to come to the market in terms of its overall floor area. 

The portfolio was available in 3 lots; Lot 1 included the highly successful Nutgrove Retail Park in Rathfarnham, South Dublin. Lot 2 included four major regional schemes namely Letterkenny Retail Park, Sligo Retail Park, Tullamore Retail Park and Deerpark Shopping Park in Killarney, while Lot 3 comprised the entire National Portfolio.

According to Savills, the sale attracted significant levels of interest from both domestic and international investors with the cumulative Phase 1 bids exceeding €1.22 billion from 7 portfolio bidders and 2 individual lot bidders. 

Domhnaill O’Sullivan commented;

“There was an extremely positive response to the sale of the National Portfolio and we are very pleased with how the process went. We are witnessing continued demand from a mix of Irish and international purchasers who are seeking to acquire retail in scale while rental levels are recovering on the back of improving consumer sentiment. As a retail park portfolio, there were significant synergies in terms of dealing with existing tenants across multiple schemes and more importantly new tenants looking to access the market.”