CBRE Ireland released their latest bi-monthly report focussing on trends and transactions in each sector of the Irish commercial property market. Below is an excerpt from that report. To read this in full, please read click here. INDUSTRIAL & LOGISTICS
- Transactional activity in the industrial and logistics sector paused for breath to some extent during July and August following a bumper first half of the year during which more than 185,000m2 of take-up was recorded in the Dublin market.
- There was considerable activity in the data centre sector of the market during the Summer with Facebook having been granted planning permission for a data centre on the M3 motorway at Clonee, County Meath and Google announcing plans to develop a second data centre alongside their existing facility at Profile Park off the M7 motorway.
- Demand for prime industrial sites which has been increasing of late is fuelled by an increase in demand for greenfield design-and-build solutions from occupiers that are frustrated by the scarcity of supply of modern accommodation along primary road networks.
- With a large proportion of available stock now reserved and no new stock expected to be developed anytime soon, there is potential for a notable spike in prime rental values over the coming quarters as new market evidence materialises.
- Demand for new industrial and logistics stock continues to strengthen although we do not expect to see any speculative development until well into 2016.