NAMA announces further senior debt redemption and preferred bidder for key Dublin Docklands site

17 December 2014 - The National Asset Management Agency (NAMA) has announced that it will redeem another €500m of senior bonds today. This brings to €9.1 billion the amount of senior bonds redeemed in 2014 and to €16.6 billion the amount of senior bonds redeemed since inception (55% of the amount originally issued).  

Also, as part of its programme to facilitate the development of the Dublin Docklands SDZ, NAMA has today named Oxley Holdings Ltd. (Oxley) as the preferred bidder for a key 2.35 hectare site at 72-80 North Wall Quay, next to the proposed new headquarters of the Central Bank of Ireland.

The terms of the transaction, which is subject to completion, will see Oxley proceeding to acquire a long leasehold interest with the right to develop, manage and realise the site. NAMA will retain the freehold interest and will receive a secure income stream in addition to a percentage of any future sales proceeds. 

Oxley was selected as preferred bidder after the completion of Project Wave, a competitive tendering process that was launched in June 2014 and which involved 6 bidders representing Irish and international investors.    

The North Wall Quay site is located within Block 8 of the Docklands Strategic Development Zone (SDZ) Planning Scheme and has been designated under the SDZ as a block with a focus on employment.  

The Oxley proposal comprises, in line with the SDZ planning scheme, the development of more than 60,000 sq.m. (645,000 sq.ft.) of Grade A office space, with capacity for up to 5,500 employees, and the delivery of over 200 apartments in Dublin’s north Docklands.   

The planning application stage of the development of the Project Wave site will likely commence in early 2015. Subject to receipt of planning from Dublin City Council, it is envisaged that the bidder will commence construction in late 2015/early 2016.

The proposed development will make a major contribution to addressing the shortage of high-quality Grade A office space in Dublin central business area and, by so doing, will facilitate IDA Ireland in continuing to attract FDI activity and employment into Ireland.  

Today’s announcement follows the recent submission of a planning application by the Receivers, funded by NAMA, for the development of the landmark Boland’s Mill site in Dublin’s south Docklands. It also follows the submission of an application for the development of office and residential development at 5 Hanover Quay and 76 Sir John Rogerson’s Quay by Target Investment Opportunities Qualifying Investor Fund in which NAMA is a shareholder.  Together with today’s announcement, these planning applications, which are the first to be submitted following the approval of the SDZ planning scheme earlier this year, include combined office, residential, cultural and retail development comprising over 1.5 million  sq. ft.

NAMA Chief Executive Brendan McDonagh said: “This transaction with Oxley will facilitate the provision of much-needed high-quality Grade A office space that will lead to further job creation, investment and economic activity in the Dublin Docklands, while maximising the value of this site for NAMA".  

Oxley Executive Chairman and CEO, Ching Chiat Kwong said: “This is the first venture for Oxley in Ireland.  We are delighted by the opportunity to invest in Ireland and to deliver a top quality commercial and residential development in Dublin”. 

Notes to editors:

1. The site consists of two separate parcels of land that were previously assembled by two NAMA debtors acting independently of each other.  Following the Agency’s decision to appoint receivers in both cases, NAMA decided that the best financial return for the taxpayer would be achieved by combining these parcels of land into one site to achieve greater economies of scale and to maximise the overall value of the site.

2. It is envisaged that the completed development will be similar in size to the commercial footprint of the Spencer Dock development, which includes the Convention Centre.

3. The Docklands SDZ contains overall approximately 22 hectares of undeveloped land, of which NAMA, through its receivers, has exposure to approximately 75%.

4. NAMA is prepared, if required, to advance up to €1.9bn in development funding to commercial and residential development within the Docklands SDZ area over the coming years.

About Oxley Holdings Ltd:

Headquartered and listed in Singapore, Oxley Holdings Limited is a property developer specialising in the development of quality residential, commercial and industrial projects. Oxley projects, which are focused on central business districts within key urban centres, also incorporate strong retail and lifestyle elements. Since going public in October 2010, Oxley has launched a portfolio of 27 distinctive developments locally. 

More recently, Oxley has expanded its property development portfolio into other regions, forming strong partnerships with reputable developers and business partners. The Group has established a presence in the UK, Cambodia, Malaysia and The People’s Republic of China. In the first half of 2014, the Group launched its maiden overseas project, Royal Wharf, a new waterfront town located in East London, and The Bridge, a mixed-residential and commercial development in the heart of Phnom Penh.