Total value of 2016 commercial property deals to top €4bn
The total value of deals done in the Irish commercial property market in 2016 is being forecast to surpass €4bn. The figure - a 7.5pc increase on the €3.7bn in turnover recorded in 2015 - is contained in the latest quarterly market commentary from Cushman & Wakefield.
Commenting on the €3bn invested so far in 2016, Patricia Ward of Cushman & Wakefield noted that overall turnover had increased by 30pc compared to the same period in 2015.
The overall €4bn out-turn projected for 2016 has been driven by strong transaction volumes in the first six months of the year. While just €210m was invested in the third quarter, Ward said this reflected "seasonality" rather than any fallout from the uncertainty caused by Brexit.
"Following a quieter third quarter, we are anticipating an extremely busy end to the year. Turnover for the year is forecast to exceed 2015 levels, achieving in excess of €4bn. Final volumes will be determined by the sale of a majority stake in Liffey Valley, which is due to close before year end," she said.
JLL meanwhile estimates that €3.7bn in transactions will be concluded by the end of this year.
The firm's head of research, Hannah Dwyer, said: "Total volumes are boosted by a particularly strong second quarter, which saw a number of very large transactions. The third quarter was somewhat quieter, but this was expected over the summer months, and at this stage we are not linking it to the Brexit vote. We are expecting momentum to pick up in the fourth quarter with over €1bn of assets on the market, including Liffey Valley and Shelbourne House. We are forecasting that investment volumes could exceed €3.7bn by the year-end."