The Irish property consultants HWBC released a report reviewing the Irish property market for the first 6 months of 2018.
Some of the main findings of the report include...
- There was a Dublin Office market take up of 1.7 million square feet recorded to the end of June, which is 55% ahead of the same period last year
- The demand for space shows no sign of slowing with over 2.0 million square feet of identified tenant requirements
- Prime rents are showing signs of levelling off and the vacancy rate likely to bottom out at around 7.0% for the entire market.
- There is a total of 3.89 million square feet under construction in Dublin
- With around 90% of new space being let on completion, there are no signs of the market being over-supplied in the medium term.
- Central Business District (CBD) Grade A rent is averaging €60-62 per square foot. HWBC said it expects city centre rates will peak next year at €65 per square foot.
The Dublin Office market appears to be in rude health, which is great for landlords and investors. For companies looking to expand into Ireland and had been considering Dublin, the cost of renting an office may appear steep.
To put some of the above in perspective, an office space of 2,500 square feet that could accommodate approximately 30 staff with meeting rooms in Dublin City Centre would cost in the region of €150,000 per annum.
look beyond dublin city centre
While this may be a sobering price tag on a work space, there is light at the end of the tunnel.
Firstly, we have highlighted in these pages many companies that have opted to set up operations outside of Dublin. There are many reasons for doing this, cost of rent being just one. By even opting for the Dublin suburbs or beyond you could reduce your monthly rent by over half compared to the Dublin CBD.
Secondly, you have the option of availing of Managed Business Services.
At Smart MBS we have tailored services that can lessen some of the cost for businesses expanding overseas.
Obviously, the cost of services provided by us depends on the size of the operation being opened by your company. Suffice to say, we can significantly improve the bill for your office space.
In our Smart MBS offices, we have space available for our clients who are in the process of opening an operation in Ireland. Based in the suburb of Sandyford with excellent access to Dublin City and the major transport links, we can provide a CBD style office at a fraction of the cost.
Thirdly, and most importantly, the whole of Ireland is available for expansion plans.
- Janssen Sciences have set up operations in Cork.
- BorgWarner have been in Tralee, County Kerry since in the 1980s.
- Mobile Technologies Inc. have chosen Drogheda, County Louth for its latest expansion.
Beckman Coulter will soon have a facility of more than 15,000 square metres once their latest expansion project is completed in Lismeehan, County Clare.
In addition to having some room in our own offices while you get things up and running, we would also be able to suggest some attractive premises in various locations all over Ireland.
Let Smart MBS help you with location
If you’d like to contact us to find out more about your location options in Ireland or anything related to expanding your business, please fill in the short form below.