AIB has recently signed a lease on a new office building at Sandyford’s Central Park development in Dublin 18.
This will house a new venue for the bank’s “centre of excellence” in customer digital innovation in the eight-floor building. This will also make it AIB’s permanent base for the teams that design, deliver and support digitally enabled products and services.
The fit-out will house up to 1,500 employees and will take up to the end of 2017. The annual rent for AIB is estimated to be €4.8 million, which equates to €291 per sq m (€27 per sq ft), and that the bank is entitled to a 12-month rent-free period under the terms of the agreement.
Tenant Break Option
The letting agreement is on a 20-year lease from May 2017, with a tenant break option at the end of year 12. AIB’s managing director, Robert Mulhall, of retail and business banking, said the bank had invested heavily in its digital capability. “We believe this move will facilitate us in retaining and attracting the best people,” he said. Central Park was originally developed in 1999 by Treasury Holdings, the property vehicle controlled by Johnny Ronan and Richard Barrett.
Nama subsequently took control of the complex before selling it to property investment group Green Reit and Pimco. Green Reit later took full control in 2015.
The letting of the new building brings total contracted rent at the Central Park development to € 23.7 million, representing 34 per cent of Green Reit’s contracted annual rent of € 70 million. Green Reit says the 79,000 sq metre development now has full occupancy, while the remaining land at the site has scope for further develpment, with planning consents in place for a further 37,160 square metres (400,000 square feet) of office space.