Demand For Industrial Property In Dublin Continues To Rise: Savills
Demand for industrial property in Dublin continues to rise, underpinned by increased trading volumes at Dublin Port, according to a recently published report by Savills.
The total throughput at Dublin Port Showed an increase of 2.9% in the first half of the year, leaving 2017 on track to be the 'strongest year ever for port traffic', the report indicated.
“Supported by the fastest jobs growth in almost a decade personal expenditure on consumer goods is rising by 3.9% per annum." John McCartney, Director of Research at Savills Ireland said. "This impact of this is being felt throughout the supply chain – from increased goods movements at Dublin Port right through to increased demand for warehousing, logistics and distribution property.”
However, despite the restricted availability of good quality modern units in prime locations, reportedly gross transactions of industrial property totalled 68,500 sq m in Q2 2017 – up 29% on the same period last year.
The report noted that the 'three particularly large deals in the quarter' included the sale of the former United Drug and Cuisine de France facilities in Tallaght, as well as the pre-letting of a distribution centre Dublin Airport Logistics Park to Holland & Barrett.
Market conditions remain tight with the availability of high quality modern units in prime locations still limited said Gavin Butler, Director of Industrial at Savills Ireland.
"Reflecting this, and with prime ERVs [estimated rental values] still 40% off their previous peak, we expect continued rental growth through the remainder of 2017 and 2018.” Butler added.
© 2017 - Checkout Magazine by Donna Ahern