The country's development land market recorded total sales of €105.1m in the third quarter of this year, with 17 sites trading across the quarter, a new report from property advisor Savills Ireland reveals.
The biggest of these deals was Dairygold's €25.6m sale of 8.4 acres at its former Cork Milk Producers (CMP) site on the Kinsale Road, which was bought by Cairn Homes.
Savills said this marks the first time the largest quarterly transaction has taken place outside of Dublin since the second quarter of 2023, when Cork also led the market.
The residential site in Cork, which has full planning permission for 606 units and several commercial units, is expected to start development in the fourth quarter of this year, with Respond due to take on the completed scheme under a social and cost-rental model.
Savills said today that activity remained resilient nationwide, with the average deal size reaching €6.2m and the average price per acre up 17% year-on-year to €410,800.
The estate agents noted that 41% of sites sold in the three months from July to September had planning permission, up from just 12% in the previous quarter. This signalled renewed confidence and a return to longer-term market norms, it added.
Residential accounted for 77% of all transactions – above the five-year average of 66% – followed by mixed-use sites at 14%.
Savills said that while Dublin retained the largest overall market share at €54.4 million (67%), Cork's standout transaction underscores its growing role in the development land market.
Peter O'Meara, Director at Savills Cork, said the Dairygold site sale represented a milestone for Cork's development land market and demonstrates the city's increasing draw for major residential investment.
"The scale and location of the CMP site make it one of Cork's most significant housing-led regeneration opportunities in recent years," he said.
Savills also today reported significant interest in the Cork market, with a growing number of Dublin-based developers now seeking opportunities in the region.
Sites with full planning permission are particularly favoured, with scale emerging as a key requirement for many purchasers.
It said that while the volume of deals has moderated compared with recent years, the overall value of deals has increased, reflecting a focus on higher-quality, more strategic assets.
