Dublin property market recorded € 3 billion in investments last year, report says

Dublin has seen € 3 billion of capital invested in its property market over the past 12 months, placing it in Paris as the fifth most active European market for investors over the period, according to a new report from PwC.

he Emerging Trends in Real Estate Europe 2022 report published this morning is prepared by PwC and the Urban Land Institute (ULI).

This shows that Dublin has dropped two places to 13th, however, in a ranking of European cities based on how investors assess their real estate prospects.

Dublin is just behind Vienna. London is the best ranked, ahead of Berlin in second place. Their ranks were reversed in the previous survey.

Over the past 12 months, London has seen by far the biggest inflows of capital of any other European city into its property market, with investors pumping € 16 billion into the market. Frankfurt was second, with 6 billion euros.

“The real estate market is positive with good investment opportunities in many capitals including Dublin,” said Kevin Nowlan, chairman of ULI Ireland and managing director of Irish listed real estate investment company Hibernia Reit.

“While there are headwinds such as economic uncertainty, labor and supply chain challenges, soaring energy costs and adaptation to a sustainable environment, nonetheless, the real estate industry is learning to live with Covid-19, “he added. “Demand for a variety of real estate sectors remains strong with overall increasing returns on investment. “

Joanne Kelly, real estate leader at PwC Ireland, said Dublin retains its “luster” for property investing, despite a two-spot slide in how investors view its outlook.

“The slippage may reflect the fact that the gains from Brexit have now been largely realized,” she said.

“A number of companies have moved and opened new European headquarters in Dublin,” she said. “Dublin and Ireland remain a very favorable area for real estate investment. We have a highly skilled English-speaking workforce, a business-friendly economy and we are part of the EU with access to over 300 million consumers.

An anonymous private investor told the inquiry that in Dublin “all languages ​​under the sun are spoken by the people and the tax regime is beneficial”.

The report says the pandemic has reinforced investors’ tendency to target counter-cyclical sectors that are profiting megatrends.

Penny D. Jackson