Development land sales spiked in Q1
There were 28 development land sales worth €350m in the first three months of the year, new statistics from CBRE have shown.
The surge in development land sales from past years comes as property firms continue to buy up land banks to allow for more badly needed housing development, particularly in areas around Dublin which have good transport links and are not too far outside the capital.
With the shortage of housing showing no sign of abating, so-called "shovel ready" sites are trading at a premium.
According to Peter Garrigan from the development land team at CBRE Ireland, "There has been strong activity in the development land market since the beginning of the year following a bumper year in 2015 when more than €770m of transactions completed in the Irish market excluding the Project Clear portfolio which traded as a loan portfolio.
"Against a backdrop of severe undersupply in the residential sector and continued strong demand in the commercial property sector, it is perhaps not surprising that the demand for development land has continued unabated in 2016.
"In fact, there has been noticeable increase in the volume of land being offered for sale since the beginning of the year with many of these sites emanating from various loan portfolios traded over the last number of years," he added.