Demand for residential land soaring
A TOTAL of 26 development land sales with a combined value of almost €92m were completed in Ireland in the first three months of this year, according to CBRE's latest quarterly report on the sector.
With the Government still coming to terms with the chronic housing shortage in Dublin and its commuter counties, the relatively-low number of transactions reflects a market in which CBRE says demand continues to outstrip supply.
"There are very few sizeable land parcels being formally marketed. This is at a time when there are severe supply shortages in many sectors of the market, most notably in the residential sector," said CBRE's Peter Garrigan.
"There is strong demand, particularly for well-located sites that have viable planning permissions.
"We are seeing particularly strong demand for residential sites in Dublin's commuter belt, with developers encouraged by an increase in mortgage applications and the volume of sales being recorded at various new home scheme launches."
Elsewhere, a €200m Irish commercial property lending platform backed by Avenue Capital Group has been launched by Real Estate Loan Management (RELM) Finance.
The platform (www.relm finance) will provide new loans to investors in commercial property across Ireland.
Relm Finance, a part of Richard Barrett's Bartra Group, will provide loans from €1m upwards.
Initial decisions on loan applications will be made within four days, with full draw down in four to five weeks following approval.
Loans issued and managed by Relm Finance will be non-recourse, and secured primarily by property assets.