Dublin office rents could grow 30% this year - HWBC

Tuesday 02 September 2014 14.52
Prime Grade A office rents in Dublin City Centre rose 15% in the first half
Prime Grade A office rents in Dublin City Centre rose 15% in the first half

The growth in the price of rents for office space in Dublin could be as high as 30% this year.

That is according to HWBC's mid year office market review.

The review shows that rates for prime Grade A offices in Dublin city centre rose 15% in the first half, well in excess of the 10% full year growth that had been anticipated at the start of the year.

This will drive some tenants to the fringes of the city and perhaps further to find suitable affordable office accommodation.

The report warns that the shortage of office space could have an impact on investment here as future FDI projects are dependent on a stream of good quality city centre office accommodation.

Demand for office space in the first half of the year was 95,200 square metres, which is 50% ahead of the same period in 2013. 

Four out of the top five deals were struck by US technology companies, including Amazon, Oracle and Dropbox.

"We thought 2014 would be strong, but not as strong as this, and that's why we have upgraded our full year forecast to 30%," Tony Waters, Investment Director at HWBC said.