Smurfit Kappa to buy its Irish headquarters from NAMA

Smurfit Kappa to buy its Irish headquarters from NAMA - Donal O’Donovan → independent.ie/business/iris … 48822.html

Are we to assume this is one of the ‘performing’ loans NAMA received ?

In my opinion, Smurfit really held a fantastic pivotal position in this buy.
As the lease was up in 2015, no bank could fund a purchase of this property at any reasonable level. The risk of being left with a vacant, unperforming ‘asset’ would have been considered too high.

The only ones who could guarantee that the lease would be renewed are Smurfit themselves.

I wouldn’t be surprised if they bought this (reasonably prime) property on an 8%-10% yield.

NWL reported this yesterday:

namawinelake.wordpress.com/2011/ … n-for-e8m/

@WGU, thanks for nod. But it was correctly reported over at NWL that the lease was up for renewal in 2013, not 2015 as reported in the Indie.

Even the IT got the renewal date for the lease renewal right today.

irishtimes.com/newspaper/fin … 24620.html

Rental yields for commercial property are in the range of 8 - 10% in the current market.
This assumes a rack rent (current market rent if the property was let to a new tenant today).

If a property in prime area like Clonskeagh has lost 70% of its value; what is a block of flats in Carrick-On-Shannon worth?