A SHARP drop in the value of development land deals was seen in the first quarter of this year, when only 14 land sales were completed, generating €70m . That compares with €107m-worth of deals in the first quarter of 2021.
According to CBRE only a small proportion of the 235 acres sold this year was in Dublin – with the majority elsewhere in the Greater Dublin Area, some of which was unzoned.
Darragh Deasy of CBRE said, “While the development land market is busy and anything that is offered for sale is attracting strong interest, most of the land sales that are being completed are off-market and relatively small in scale.”
Meanwhile, two Real Estate Alliance agents have brought residential development sites to the market this week, one in Athy, Co Kildare and the other in Loughrea, Co Galway.
The Athy site extends to 18.55 acres and comes with full planning permission granted in 2020 for 218 houses and a creche. Its mix of one-, two-, three- and four-bedroom houses would also be detached, semi-detached and terraced. REA Boyd is guiding €4.25m, which equates to less than €19,500 per average house site.
Located at Geraldine Road on the Dublin side of town, it is easily accessible from the M9 motorway linking to Dublin via the M7 and towns along the M9 route including Carlow, Kilkenny and Waterford.
Michael Boyd said, “There is a chronic shortage of new homes in Athy as there has been so little development in the last 15 years.”
About 55 acres of land has been dezoned in the Athy area, curtailing scope for future development.
The vendor, a family-owned home builder in the south-east, has previously built numerous homes in Athy.
Meanwhile, in Loughrea, REA McGreal Burke is guiding €1.7m for 9.58 acres of land at Caheronaun, beside the town centre. Of this, 4.94 acres are zoned Town Centre and three acres are zoned residential. Residential is also a use open for consideration on the land zoned Town Centre. A further 1.6 acres are zoned amenity.
Within 30 minutes of Galway city, Loughrea has seen demand for commuter homes.