Horizon bright overseas
CONTRASTING trends were seen in Dublin and overseas market reports this week.
In Dublin, office vacancy rates are reported to have increased sharply to 15.8pc overall at the end of 2008, as downsizing and the release of second-hand space took its toll.
CB Richard Ellis reports that just under 33,000 sqm of office lettings were transacted in Q4 2008.
This brought the take-up total in the capital to only 167,786 sqm.
In contrast, in the UK, a weak pound and a narrowing of the prime/auction property yield in England has sparked renewed interest among investors looking overseas.
Savills say that average prime yields now stand at 7.4pc, with auction yields across all sectors sitting at 7.75pc.
Equity-rich buyers are now looking to invest again through the auctions market.
The next Savills Commercial auction takes place on February 23 in The Cumberland Hotel, in London.
Meanwhile, investment activity worldwide plummeted by 59pc to $435bn last year.
This was the lowest annual total since 2004, according to figures from Lisney's international alliance partner, Cushman & Wakefield, which predicts that volumes will fall again this year to around $412bn.
Duncan Lyster, director at Lisney said: "We see big buying opportunities particularly in the US and UK."
