Commercial real estate agency CBRE Ireland has released their latest annual Outlook report, which contains the final year figures for transactional activities in every sector of the Irish commercial property market in 2015 as well as their predictions for these sectors this year.
In a report from Europe Real Estate, the agency stated that last year was exceptionally busy in the country's commercial property market as annual median transaction volumes exceeded in most sectors before the end of the year. Hence, the Irish commercial property market is expected to achieve higher profitable returns as the indicators are strong based on last year's figures.
"2015 had many ingredients, that combined were supportive of strong CRE activity including a considerable weight of Irish and overseas capital chasing investment opportunities; strong occupational activity across all sectors; a supportive economic backdrop; strong job creation; rental growth; yield compression; muted development activity and very low interest rates," said Enda Luddy, managing director of CBRE Ireland.
"Although some of these components will change over the course of the next 12 months and the outlook is constantly evolving, we are confident that 2016 will be another good year for the Irish commercial property market," he added.
According to Independent, there were 176 investment transactions of more than €1m in 2015 which boosted the Irish property market. The given figure strengthens the recent predictions of CBRE.
The 39 Dublin pubs, sold last year, made a total amount of more than €49m. The cited number of pubs, however, does not include the other 17 Dublin pubs sold before the year ended.
This year, Luddy believes that there will be more components in the industry to evolve. He is optimistic that the Irish commercial property will exceed the 2015 boom.
