Ericsson. Facility. Athlone, Co. Westmeath. For Sale by Private Treaty

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1 the Ericsson Facility Athlone, Co. Westmeath For Sale by Private Treaty Tenant Not Affected

the Ericsson Facility Cornamaddy Road, Athlone, Co.

Fully Let to single tenant AAA Rated Guarantor Full Repairing & Insuring

Dublin, Galway, Sligo, Limerick Ericsson employs approx.

1,400 people in Ireland Passing rent of 1,797,568 pa.

3 the Ericsson Facility Cornamaddy Road, Athlone, Co. Westmeath A truly great investment opportunity! Fully Let to single tenant AAA Rated Guarantor Full Repairing & Insuring Lease Secure income for over 10 years Central location with superb access to Dublin, Galway, Sligo, Limerick Ericsson employs approx. 113,800 people globally and approx. 1,400 people in Ireland Passing rent of 1,797,568 pa. Rent reviews to the higher of open market rental values or a 10% uplift, in February 2017 and February Ericsson invested approx. 10 million in the facility in In occupation in Athlone since 1974 PAGE 3

location IDA Ireland, Athlone Department of Education & Skills, Athlone An Post, Athlone Athlone Co.

Athlone is a thriving and developing midland town approximately 80 miles west of Dublin City Centre on the main Dublin/Galway Road (N6).

There is a good existing road network connecting to the N6 Dublin, Galway, Sligo and N62 Limerick, Cork with all the major population centres.

Private and public bus services operate to and from Athlone and a public shuttle service exists within the town environs.

4 location IDA Ireland, Athlone Department of Education & Skills, Athlone An Post, Athlone Athlone Co. Westmeath The Ericsson Facility is situated on the Cornamaddy Road just off the Athlone bypass and less than one mile from Athlone Town Centre. Athlone is a thriving and developing midland town approximately 80 miles west of Dublin City Centre on the main Dublin/Galway Road (N6). Athlone town is located in the centre of Ireland and is well served by local and national infrastructure. There is a good existing road network connecting to the N6 Dublin, Galway, Sligo and N62 Limerick, Cork with all the major population centres. The completion of the motorway from Dublin to Athlone and Athlone to Galway minimises journey times and increases accessibility to the town. Private and public bus services operate to and from Athlone and a public shuttle service exists within the town environs. The town is serviced by an excellent rail line that connects Dublin to Galway and Westport. Several factors have contributed in making the town of Athlone the business centre of the Midlands. It is strategically positioned with access to an excellent road and rail network. It has a strong industrial base with great potential for future expansion. The nearby IDA Business Park is home to the National Headquarters of the IDA and there are many major multinational companies operating within the park. Renewal programmes and a campaign to upgrade Athlone to city status enhance Athlone s attractiveness to potential investors and workers. The town is a very strong educational centre headed by Athlone Institute of Technology. A wide range of amenities and services are available within a 20 PAGE 4

5 Athlone & Surrounding Area m6 n55 R916 R915 Department of Education and Skills the Ericsson Facility Cornamaddy Road, Athlone, Co. Westmeath m6 R916 Moydrum Road River Shannon Dublin Galway Rail Line R446 R446 R916 Moydrum Road Athlone Town Centre Retreat Road Retreat Road R446 Athlone Institute of Technology R446 IDA Ireland An Post Sorting Office Belfast mile radius of Athlone town. The town is well catered for by excellent hotels, a wide variety of restaurants and eateries. Athlone s position on the River Shannon at the foot of Lough Ree has ensured a consistent influx of water enthusiasts including those who participate in sailing, cruising, wind surfing and canoeing. Athlone continues to experience positive growth and development benefiting from the decentralisation of Government Offices (the Department of Education). Athlone in the last number of years has come to be regarded as the commercial and retail capital of the Irish Midlands with shoppers travelling from surrounding counties because of the quality, choice and accessibility. There are excellent shopping facilities including Golden Island Shopping Centre and Athlone Town Shopping Centre incorporating the Sheraton Hotel. Drive Times Athlone Town Centre 7 Minutes Dublin 75 Minutes Galway 60 Minutes Galway m18 m20 Limerick ATHLONE m6 m4 m9 m8 m7 m1 m3 m2 M50 m11 Dublin Cork PAGE 5

The Building The Ericsson Facility Cornamaddy Road, Athlone The Ericsson Facility is a campus style development occupying a site of approx. 15.23 acres (6.16 hectares).

6 The Building The Ericsson Facility Cornamaddy Road, Athlone The Ericsson Facility is a campus style development occupying a site of approx acres (6.16 hectares). It comprises two adjoining office and software development facilities and an adjacent detached Communications Building. The purpose built two storey Atrium Building, which was an Irish Architectural Regional Award Winner in 1999 provides magnificent third generation open plan and executive office accommodation. The Atrium Building links at ground and first floor levels to a primarily single storey Rear Building which was substantially redeveloped and customised for office and software development purposes. Each building is fully air conditioned and has perimeter oil fired radiators. The Atrium Building has raised access floors in the office areas. The Rear Building is laid out as open plan offices and workstations and has raised access floors in part. The standard of finishes and facilities in both buildings is as to be expected from a prestigious large space multinational occupier such as Ericsson. Facilities include a catered staff canteen and dining room as well as a multipurpose sportsground and on-site car parking. Both buildings are of modern construction with a combination of brick & block metal cladding and reconstituted stone walls, metal decked roofs and concrete floors. A self-contained fully air conditioned Communications Building provides the valuable services for the main buildings. PAGE 6

7 2 storey Atrium Building Facilities include a staff restaurant, auditorium, multi-purposes sports ground and ample parking. Fully air conditioned open plan building site Area acres (approx hectares) PAGE 7

LEASE SUMMARY The property is let to Ericsson LM Limited on a 25 x5 year Full Repairing and Insuring lease from 26th February 2002.

All financial lease obligations are guaranteed by AAA rated Telefon AB LM Ericsson.

8 LEASE SUMMARY The property is let to Ericsson LM Limited on a 25 x5 year Full Repairing and Insuring lease from 26th February The passing rent is 1,797,568 per annum with rent reviews to the higher of open market rental values or a 10% uplift in February 2017 and February All financial lease obligations are guaranteed by AAA rated Telefon AB LM Ericsson. Ericsson Ericsson is a leading global provider of telecommunications equipment and related services to mobile and fixed network operators. Over 1,000 networks in 140 countries utilize their network equipment. Ericsson is one of the longest-standing technology companies to base itself in Ireland, establishing its first operation here in The Athlone facility was established in 1974 and was originally a production facility for telecoms equipment, however it was converted to a Research and Development facility circa Ericsson invested approx. 10 million in the facility in 2010 to include new AC chillers and partial re-roofing. Accommodation Schedule The approximate gross internal areas of the buildings are as follows: building Gross Internal Gross Internal IPMS 2 IPMS 2 Main Facility Building Sq.m Sq.ft Sq.m. Sq.ft. Ground Floor 9, ,525 9, ,441 First Floor 2, ,597 2, ,706 12, ,122 12, ,146 Communications Building Sq.m Sq.ft Sq.m. Sq.ft. Ground Floor , ,012 Total 13, ,132 13, ,158 Prefabs , ,460 Ericsson global net sales in Q were 5.37 billion with an operating income of million. Net sales for the full year 2015 were billion with an operating income full year of 2.29 billion. Ericsson is listed on the NASDAQ OMX Stockholm and NASDAQ New York and has 116,507 employees globally. The lease is guaranteed by AAA rated Telefon AB LM Ericsson. The company has a net worth of approx. 9.5 billion. PAGE 8

9 For Indicative purposes only PAGE 79

10 ECONOMIC OVERVIEW The Irish economy continues to show strong and sustained growth, as it did in 2014 and The forecast is for 4.3% growth in 2016 and 3.8% in 2017 according to the Economic and Social Research Institute (ESRI). Unemployment has fallen to 7.9% as of September 2016, down from 15.1% recorded in February This employment growth is likely to continue, with the ESRI forecasting that 46,000 new jobs will have been created by the end of 2016, with unemployment above two million for the first time since Q % Unemployment Rate (CSO) Consumer Sentiment (ESRI/KBC) There has also been a shift from net emigration during the financial crisis to net immigration today. This will benefit the labour market as it should ease shortages in certain sectors and keep employment balanced, and thereby reduce the potential for wage inflation which has to date been subdued, with average private sector earnings up 1.5% in the year to Q2 2016, reflecting spare capacity in the labour market. a 10-year high earlier this year although the Index subsequently fell slightly due to the mixed Irish election result and the largely unanticipated decision by the United Kingdom to leave the European Union. However, while the Index initially retreated by 3.8% in July following the Brexit vote, the Index has recovered much of this loss as the severity of the economic shock has so far turned out to be less severe than feared. Falling unemployment and positive wage growth have also had a significant impact on the public finances. Overall tax receipts were up 5.7% year on year for the first nine months of Revenue and Expenditure results for the period to the end of September indicate that the public finances remain on target to achieve revised 2016 forecast, of a general government deficit of 0.9% of GDP as set out in the Summer Economic Statement. The Exchequer has recorded a deficit of 25 million and this represents a year-on-year improvement of 79 million on Improvements in Ireland s fiscal position have had a positive impact on the rating of the country and our ability to borrow on the international markets. Bond yields continue to decline, with the 10-year rate currently standing at 0.40% as of August Motor sales - a key barometer of consumer confidence have risen by 10.2% in the year to August according to the Central Statistics Office (CSO). As a result of the falling unemployment rate and positive wage growth, personal consumption is now playing a greater role in Ireland s economic recovery, which was previously driven by investment and exports. This feel good factor led to the ESRI/KBC Bank Consumer Sentiment index hitting Irish Bond Yields vs Other European Countries (Eurostat) 2014M M M M M M M M M M M M M M M M M M M M M M M M M M M08 Ireland Spain Italy Portugal PAGE 10

REGIONAL INVESTMENT MARKET TITLE We understand that the property is Freehold. BER E1 Guide Price Excess 19 Million exclusive. VIEWINGS Strictly by prior appointment with the sole agents Knight Frank.

11 REGIONAL INVESTMENT MARKET TITLE We understand that the property is Freehold. BER E1 Guide Price Excess 19 Million exclusive. VIEWINGS Strictly by prior appointment with the sole agents Knight Frank. There was 255 million worth of commercial investment transactions occurred in Ireland in Q This brings the value of transactions in the first nine months of the year to approximately 3.1 billion, approximately one-third higher than the same period in Although the initial recovery in the property investment market was very Dublin focused, investor appetite has now spread to assets throughout the country. Shopping centres have accounted for the largest transactions in the regions, with well-located centres with strong catchment areas attracting the interest of large international investor funds. For example, Deka Immobilien, Credit Suisse and Goldman Sachs are just some of the funds to have transacted this year. Activity in the regional office market has not been as elevated, owing much to the fact that there is a lack of investable office product in comparison to retail. The purchase of 1 Albert Quay in Cork by Green REIT for approximately 58 million in Q has been the most significant transaction, with the price representing a capitalisation yield of 6.75% on let areas and 7.00% on unlet areas. Tyco, the anchor tenant, moved into the building earlier this year having taken a 20-year lease with a break option at year 11, paying an annual rent of 1.7 million. Also in 2015, City East Plaza in Limerick was purchased for 4.2 million at an initial yield of 8.27%. Block A is let under four separate leases of which three of the leases are held with Northern Trust. Block B, which is yet to be constructed, will extend to 55,000 sq.ft. with a site of 4.9 acres included. With prime yields in Dublin having stabilised at the 4.5% level for the last number of quarters, we expect to see investors continue to increase their interest in higher yielding regional investment opportunities. Solicitors: Smith Foy, 59 Fitzwilliam Sq., Dublin 2. T: W: smithfoy.ie James Foy E: info@smithfoy.ie Contact: Knight Frank, Upper Pembroke St., Dublin 2. T: W: knightfrank.ie Ross Fogarty T: E: ross.fogarty@ie.knightfrank.com Adrian Trueick T: E: adrian.trueick@ie.knightfrank.com These particulars are issued by Knight Frank on the understanding that all the negotiations are conducted through them. Whilst every care has been taken in the preparation of these particulars, they do not constitute an offer or contract. All descriptions, dimensions, references to condition, permissions or licenses of use or occupation, access and other details are for guidance only, they are given in good faith and believed to be correct, and any intending purchaser/tenant should not rely on them as statements or representation of fact but should satisfy themselves (at their own expense) as to the correctness of the information given. Prices are quoted exclusive of VAT (unless otherwise stated) and all negotiations are conducted on the basis that the purchaser/lessee shall be liable for any VAT arising on the transaction. Neither Knight Frank or any of their employees have any authority to make or give any representation or warranty in respect of this property. All maps reproduced by permission of the Ordnance Survey Ireland - Licence Number AU PAGE 11

Block C, Dundrum Business Park

FOR SALE MODERN OFFICE INVESTMENT OPPORTUNITY Block C, Dundrum Business Park DUNDRUM, DUBLIN 14 Detached 3rd generation office block 2,240 sq.m (24,100 sq.ft) approx Investment summary Modern office investment