Office Occupancy Cost Seeing a Shift

Rental space is on the rise in the Irish market, though typically assumed strictly to act as homes, there is new research pointing our direction to the office rental markets.

With the latest bi-monthly report recently released by commercial property specialists CBRE, numerous important transactions in multiple sectors of the Ireland commercial property market have been reported.

The report is mostly noted for the strong take-up recorded in the Dublin office market during the beginning of 2018. Dublin is currently ranked 27th for global office occupancy costs, compared to the 29th place they held in the year previous.

This shift to fulfill more and more office space within the city is most likely due to the ease of doing business within the city limits.

By maintaining such a central location, it is made possible for businesses to thrive. Businesses often depend on the resources a city offers, as well as the booming customer base. In the nation of Ireland, Dublin really is the best place for this.

With office rents in the suburbs seen to be at levels currently less than half that in Dublin, it would be reasonably assumed that there would be a shift in occupancy from the city to the suburbs.

Though this shift is seen from the regular housing market, it is not yet seen from the American office market. Because of the more cost-effective location, it is being predicted by some that there will be a shift in this area soon.

Activity in the Irish market of investment transaction has continued at a sustainable pace which is forecasted to boost transactional activity in the upcoming quarter of the financial market. With this statistic recently published, it is to be likely for an overall increase in the office housing market as well.

Currently, it is seen throughout Ireland that the real estate investment market is a rising investment opportunity. WIth highly attractive pricing and increasing demand, it is not surprising.

As discussed in previous articles, the build to rent schemes is evolving as a strong and important role in the Irish investment markets.

The build to rent schemes are a way for real estate investors to own their own piece of Irish real estate and rent it out until the option to sell becomes more attractive than holding.

For years leading up to current times, the investment world has been dominated by office and retail sectors. It hasn’t been until recently, the Irish market is beginning to see a trend for residential sector of investing that will perhaps cause an overall positive impact on the Ireland economy.

Investors have been being pulled into the Irish rental market for the recent years as the yield profile of rental properties is growing at an exponential rate, as is the rental growth prospects in the country.

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