Irish REIT Hibernia and Starwood Capital have formed a 50:50 joint venture to redevelop the original site of Dublin's Windmill Lane studio which hosted recording sessions for many famous acts, including U2, Van Morrison and Sinead O'Connor.
Irish REIT Hibernia and Starwood Capital have formed a 50:50 joint venture to redevelop the original site of Dublin's Windmill Lane studio which hosted recording sessions for many famous acts, including U2, Van Morrison and Sinead O'Connor.
Hibernia acquired the site in Dublin's South Docks in 2014 and the building which previously housed the recording studio was demolished in April this year. The recording studio itself was moved to another location in Dublin several years ago.
The Windmill Lane Site has planning permission for over 11,150 m2 of offices, 650 m2 of retail and 15 residential units. The project forms one part of the quadrant of adjoining or adjacent assets Hibernia has assembled in the South Docks.
Demolition works have been completed, piling has commenced and a building contractor is expected to be appointed shortly. Hibernia is targeting completion of the development of the site by end-2017.
The site was acquired by Hibernia from Starwood in June 2014 for €7.5 mln, with Starwood being granted an option to buy back in as a 50:50 joint venture partner at the purchase price plus a return of 7%, plus costs incurred to date by Hibernia.
Starwood will pay €4.9 mln for its share in the Windmill Lane Partnership. All future income and expenditure will be shared equally.
Hibernia's investment manager, WK Nowlan REIT Management Limited, will act as asset manager and development manager to the Windmill Lane Partnership.
