66 Land Sales Completed in the Irish Market in the First Half of 2018
July 6th 2018 – Property consultants CBRE Ireland have today released figures for the volume and value of development land traded (both on and off-market) in the Irish market in the first half of 2018, which shows that 66 transactions totalling almost exactly €400 million signed in the six months to the end of June. This compares to 50 development land transactions totalling almost €269 million completed in the first half of 2017.
Irish Development Land Spend 2009 - 2018 H1
A 5.26 acre office site at Eden Plaza, Sandyford Dublin 18,which
Activity has been brisk in the development land sector of the market over recent months with strong demand prevailing from both domestic and international bidders. Very little of scale was offered for sale in the development land market in the opening months of the year but there has been a notable increase in the volume of stock (including some sizeable land parcels) coming to the market in recent months. This is welcome considering the supply shortages inherent in many sectors at present, most notably in the housing sector. An increase in the volume of stock being offered for sale will give a welcome boost to transactional activity in the development sector in the second half of the year, with 2018 land sales in Ireland now expected to surpass last year’s volume of approximately €750 million
There has been increased appetite for residential sites of late, helped to some degree by the release earlier this year of revised apartment guidelines, which have provided bidders with more clarity and certainty from a pricing and viability perspective. Planning activity has also increased, with planning permissions up 81% year-on-year in Q1 2018 and a particularly notable increase in applications for apartments. The market is now eagerly awaiting the Minister for Housing’s direction on height and density (expected later this month), which will provide further clarity in pricing development sites.
In addition to providing residential units for sale, several bidders are now pricing sites on the basis of providing purpose-built Build to Rent (BTR) stock, purpose-built student accommodation (PBSA) and/or co-living accommodation.
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CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2017 revenue). The company has more than 80,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com
CBRE U.C., (CBRE Ireland) registered in Ireland, no. 316570. PSRA Licence No. 001528 is the country’s largest commercial real estate services company with offices in Dublin and Cork. Currently employing over 135 employees, we work with occupiers, investors and developers of office, industrial and logistic, retail, hotel and healthcare property, providing strategic advice and execution for property sales and leasing; tenant representation, corporate services; property and project management; appraisal and valuation; development services; investment management and debt advisory; business rates and compulsory purchase and research and consulting. Please visit our website at www.cbre.ie