IDA STARTS SEARCH FOR NEW HQ AS LEASE EXPIRY DATE LOOMS - The IDA is on the hunt for a new global headquarters as the lease on its existing premises approaches the end of its term.
The agency - tasked with luring foreign investment to Ireland - wants to hire a property agency to "evaluate the strategic and economic options for obtaining new global headquarters for the organisation". It's currently based in Dublin's Wilton Park House and it's almost certain the new HQ will also be in the capital. The current headquarters could be redeveloped after property investment firm Iput recently agreed to buy the two-thirds of the premises it doesn't already control, writes the Irish Independent. The lease on the IDA premises at Wilton Park House expires in 2019. The gross per annum lease cost is €4.6m. However, the IDA sublets space at the 130,000 sq ft office to five other tenants. That reduces the annual rent cost directly attributable to the IDA at the location to €2m. The IDA entered its lease agreement for Wilton Park House in 1984. The lease agreement has no break clauses. Earlier this month, Iput agreed a deal to acquire two-thirds of a stake in Wilton Park House from pension funds that are managed by State Street Global Advisors. That raised speculation that Iput will seek to redevelop the prime office block.
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FESTIVE SEASON HELPS LIFT SOME OF GLOOM HANGING OVER CONSUMERS - Consumer and business sentiment picked up in December, but Brexit, the US presidential election and domestic unrest all took their toll during the year.
The Bank of Ireland Economic Pulse, which measures consumer and business sentiment, rose to 92.4 in December, up 6.6 points on November’s reading. The rise was fuelled mainly by increased business sentiment, which rose 7.9 points to 93.1 during the month. The consumer reading was up 1.2 points on the month to 89.5, says the Irish Times. However, Bank of Ireland’s group chief economist Dr Loretta O’Sullivan said 2016 was an eventful year and overall the economic pulse reading was lower at the end of December compared with a year earlier. "While sentiment picked up in December, developments over the course of 2016 have taken their toll," she said. "The general election and industrial unrest at home. The UK voting to leave the EU. Sterling falling and the outcome of the US presidential election all made it an uncertain year. These developments weighed on confidence with both the Consumer and Business Pulses in December down on their January readings, albeit up on November."
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SENIOR CITY FIGURE UPBEAT ON LONDON ROLE AFTER BREXIT - London will remain the world’s leading financial centre in spite of Brexit, according to a senior City figure, in remarks that will boost Tory Eurosceptics who say lobbyists have exaggerated the threat.
Mark Boleat, policy chairman of the City of London Corporation, said there was considerable "nervousness" about a possible regulatory cliff-edge when Britain leaves the EU. But he said: “I have no doubt that whatever happens in 2017, the City of London will remain the world’s leading financial centre.” His comments reflect the view among pro-Brexit figures that the City will emerge with its global reputation intact, as lawyers devise ways to minimise the impact of leaving the EU, says the Financial Times. Mr Boleat said it was vital that a transition deal was agreed early in negotiations to give the City enough time to adapt to a new regulatory regime; chancellor Philip Hammond is backing that cause. "Firms’ nervousness can only be allayed if they know how they can continue running their business," Mr Boleat said. "Important strategic business decisions are being delayed and much-needed investment postponed or withdrawn altogether." City UK, a lobby group, claimed in September that in certain conditions - with the UK denied "passport" access to European financial markets - there could be 70,000 job losses after Brexit.
