One of the acquisitions is the former offices of Ivor Fitzpatrick & Co, at 44/45 St Stephen’s Green at the junction with Hume Street.
It was offered to the market in May with vacant possession at a €10m guide price.
The late Mr Fitzpatrick was a solicitor whose clients included significant property investors and developers.
The other property is 90-91 St Stephen’s Green which is currently occupied by Standard Life and backs onto Iveagh Gardens. In 2020, it was offered for sale for €27m during the Covid-19 pandemic and having failed to sell, returned to the market in 2023 with its guide price reduced to €18m.
Extending to 26,600 sq ft over four storeys and lower ground floor, it is laid out as a modern office building with a mid-terrace Georgian facade.
IPUT declined to disclose the prices paid.
Explaining the purchases, IPUT chief executive Niall Gaffney said: “Our strategy is to focus on the best office locations in Dublin city and we are delighted to add 43,000 sq ft on St Stephen’s Green to our portfolio.”
CEO of property fund IPUT Niall Gaffney at the Wilton Park development in Dublin. Photo: Gerry Mooney
Referring to the premium rents that can be achieved by providing more flexible terms for offices he said: “We see sustained strong demand for highly amenitised workspaces.”
Under its Studio brand, IPUT is more than doubling the portion of its office space devoted to the flexible market from 50,000 sq ft to 108,000 sq ft this year and these will include over 16,000 sq ft dedicated to amenities for those working in Studio offices.
As well increasing IPUT’s St Stephen’s Green portfolio to 100,000 sq ft across five buildings, the acquisitions will also bring its office portfolio in Dublin’s central business district to 2.15 million sq ft.
Unlike other flexible and serviced office providers, Studio does not rent by the desk space. Instead it offers fully-fitted office spaces with a high level of amenities on flexible leases.
It is understood that rents for fully-fitted and fully managed offices can range from €150 to €200 per square foot. That compares to around €60 per square foot for unfitted, unmanaged offices in Dublin city centre on long leases.
Studio also plans to provide space at 2 Hume Street, Styne House, Two Riverside and No 3 Dublin Landings.
Its expansion of Studio is yet another reflection of how office occupiers see flexible offices as one way of hedging their bets at a time of uncertainty as they can avoid the long-term financial commitments of paying rents as required with traditional office leases which can stretch from seven to 20 years and having to manage fit out and maintenance.
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