Research

The Residential Investment Report Greater Dublin Area 2023 & H1 2024

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The Hooke & McDonald new Residential Investment Bulletin June 2023 throws light on significant new trends in the sector and delves into transactional activity over 2022 and 2023 and the likely scenarios for the sector in the year ahead.

The population of Kilkenny has passed the 100,000 mark for the first time in over 150 years. Kilkenny housing stock has increased since 2016 by 5.2 per cent to 41,279 homes in 2022. There were 929 homes sold in Kilkenny in 2022, totalling €264 million, compared to 963 in 2021 at €238 million. (more…)

The Multi-family/Private Rented Sector continued to be the top investment asset class in the Greater Dublin Area in the first three quarters of 2022, capturing 37 per cent of the total €3.5 billion investment spend, followed by offices at 30 per cent and industrial at 12.5 per cent.

Published March 2022

The multi-family/private rented sector (PRS) has been the most active property investment asset class in Ireland for the last 3 years.

The sector has grown steadily since 2016 and in that period, through financing of over €7 billion from Irish and international funders and investors, it is facilitating the construction of over 12,000 new homes which, when fully completed, will provide accommodation for over 25,000 people.

Published September 2021

The Private Rented Sector dominates the investment market in H1 2021 rising to 55 per cent of the total spend of all property investment transactions in Dublin.

The report reveals that there has been €1.5 billion transacted in the multi-family / PRS sector in the first 6 months of the year across 19 main transactions. There were 11 new build transactions and 8 existing stock transactions. It is significant that in the 11 new build transactions in the first half of the year investors funded the supply of 2,949 new homes for the rental market.

Published February 2021

The multi-family/private rented sector market weathered 2020 with considerable resilience. Internationally, multi-family is now recognised as a mainstream investment category, a long term and stable asset class, with low vacancy and voids.

Institutional investors have been instrumental in enabling and funding the construction of nearly 5,500 new apartments and houses in Dublin since 2016. Also, 10% of each new scheme is being delivered as Part V social units; both of these factors have helped boost supply, particularly in the rental market. The majority of these properties would not have been built without institutional funding/forward purchase.

The Multi-Family/PRS sector has weathered the Covid-19 lockdown in a robust manner, due largely to the demographic drivers, the need for more residential accommodation, weight of capital attracted to the sector, and the imbalances between supply and demand.

Multi-Family / PRS transactions are marginally up in Q1 2020 compared to the same quarter 2019; apartment completions are still at a low level, albeit showing some minor increases. In the present environment the importance of the Multi-Family / PRS as an asset class is underpinned.

Multi-Family / PRS transactions have continued to dominate the Irish property investment market, accounting for 42% of all property investment transactions in Dublin in the fourth quarter of 2019 and 44% of the whole year.

This is a review of elements of the apartment development market in Ireland over the last 40 years with particular emphasis on the trends and factors influencing development, or lack there-of, over the last 10 years. The report focuses on private development and the role investors have played in housing supply in the State in the past.

Private Rented Sector transactions have continued to dominate the Irish property investment market, accounting for 55% of all property investment transactions in Dublin in the third quarter of 2019, the same percentage as in the second quarter, followed by 37% for offices. Eight of the ten largest Dublin property investment transactions in the third quarter were PRS investment sales. However, there is still a significant shortage of new apartments under construction.

Private Rented Sector transactions accounted for a record 55% of all property investment transactions in Dublin in the second quarter of 2019, followed by 29% for offices. Four of the five largest Dublin property investment transactions in that period were PRS investment sales. However, there is still a significant shortage of new apartments under construction.

There were only 1,766 apartments built in Dublin in 2018, 54% of them (956) in Dublin City Council area, 33% (575) in Dun Laoghaire-Rathdown, 12% (207) in Fingal and just 2% (28) in the South Dublin County Council area. It is estimated that there will be just 3,000 apartments built in Dublin in 2019 but this is still less than a third of the estimated 9,000 units required annually in the capital for the sale and rental markets.

The Private Residential Sector has continued to be the most vibrant part of the Irish investment market with considerable potential for sustained growth over the next five years

Residential Investment sales for the first nine months of 2018 reached the half billion Euro mark.

The Residential Investment market accounted for 42% of the overall Dublin investment market in Q2 2018. This is the first recorded quarter in which Residential Investments in Dublin have exceeded all other investment classes.

The residential investment market in Dublin accounted for 9% of the overall investment sector in Q1 2018 and is likely to constitute over 20% of all Dublin investment sales in 2018.