Report highlights slowdown in transactional activity in commercial property market
The occupier sectors of the Irish commercial property market, namely the office, retail and industrial sectors, experienced a slowdown in transactional activity during the months of July and August, according to a new report.
CBRE Ireland's September 2015 Bi-Monthly Research Report has highlighted several high-profile transactions and "huge effort focussed on completing detailed due diligence on the various assets and portfolios on the market", however.
Prime office rents in Dublin now at €565 per sq. m (€52.50 per sq. ft.), the report found.
Up to €400m of retail investment opportunities and another €400m of office investment opportunities due to be launched for sale.
"Although there have been some concerns about the potential impact of recent stock market volatility and the uncertain macroeconomic picture, as long as interest rates remain low, real estate remains an attractive proposition and supply shortages in some sectors of the Irish market will prolong this momentum, particularly when economic and rental growth projections are factored in," the report stated.
"The process of deleveraging is now well underway in Ireland.
"However, some very attractive assets and portfolios have yet to be released for sale and we are increasingly seeing evidence of secondary trading from the various loan books and portfolios purchased over the last number of years."
