Dublin Docklands Site Containing Two Hotels Sold
Irish homebuilder Glenveagh Properties has confirmed the sale of a Dublin Docklands site that contains two hotels to a subsidiary of multinational Eagle Street Partners group for €78.5 million.
As reported by The Irish Independent, the sale has allowed the firm to return €100 million to shareholders in a buyback scheme.
The Castleforbes complex that has been sold reportedly contains two hotels, a 120,000 square foot office space and 700 residential units.
Glenveagh reportedly said in a release that it has "made significant progress" in reducing risk and monetising the Castleforbes site, which was reportedly originally purchased in 2018.
Glenveagh reportedly said in a statement that it made approximately €16 million in revenue from the land sale element of the transaction, with construction "progressing to plan" on the hotel and adjoining office.
It has reportedly invested approximately €70 million in land opportunities in the year-to-date and has reportedly identified €100 million in excess capital that it reportedly intends to return to shareholders in a share buyback scheme, run by Davy.
The share buyback has reportedly commenced and will reportedly run until the end of the year, if market conditions allow.
The buyback reportedly follows a previous €75 million buyback that finished in October.
Goodbody analysts reportedly said that the buyback will be welcomed by the market, coming earlier than forecast, with Glenveagh "on track" to hit its previously outlined 15% return on equity target in 2024.
The firm will reportedly hold an Extraordinary General Meeting in Kildare on December 16.
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