CBRE sees a turning point for Irish real estate market
CBRE expects “a turning point” for Irish real estate, with an uplift in select areas of dealmaking as some €1bn (£890m) of assets come to market in the coming months.
In its latest report, the agency’s Irish division said a “new reality” will emerge for the market, with investor liquidity having built up during six months in which activity stalled as a result of the coronavirus pandemic.
“Signs of increased activity will first become visible in the investment sector of the market, primarily as a result of the number of assets that traded during the summer as well as those that are due to be offered for sale over the coming months,” said Marie Hunt, head of research at CBRE Ireland.
CBRE expects “a turning point” for Irish real estate, with an uplift in select areas of dealmaking as some €1bn (£890m) of assets come to market in the coming months.
In its latest report, the agency’s Irish division said a “new reality” will emerge for the market, with investor liquidity having built up during six months in which activity stalled as a result of the coronavirus pandemic.
“Signs of increased activity will first become visible in the investment sector of the market, primarily as a result of the number of assets that traded during the summer as well as those that are due to be offered for sale over the coming months,” said Marie Hunt, head of research at CBRE Ireland.
“We have visibility on up to €1bn of assets that are likely to be offered for sale over the next few months, which will please the many investors who are looking to deploy. Recovery will, however, be slower to materialise in the occupier and development sectors of the market.”
In the office market, CBRE expects take-up in Dublin to recover from a record low in the second quarter – but added that “large-scale expansion and relocation decisions are expected to remain firmly on hold”. The attractions of taking flexible workspace are likely to rise, the agency added.
Industrial and logistics activity has, in some areas, benefited from the lockdown, CBRE said, with demand for a dwindling supply of space strong. Deals in the retail sector have been “paralysed”, the agency added, with vacancies rising and tough negotiations ahead between tenants and landlords.
To send feedback, e-mail tim.burke@egi.co.uk or tweet @_tim_burke or @estatesgazette
Photo by Michael Runkel/imageBROKER/REX/Shutterstock
