Investors spent €1.15b in 3rd quarter

The total amount of capital invested in Irish real estate during the past three month was higher than in any other quarter in history.

Between July and September – a normally quiet holiday period – €1.15 billion was spent by investors, bringing total volumes for the year to date up to nearly €3 billion. With only one quarter remaining, the spend is just €600 million behind the record 2006 figures of €3.6 billion.

Hannah Dwyer, head of research at JLL, which compiled the figures, said that total volumes had been boosted by four large portfolio sales – Redwood, Orange, Acorn and Salix – which exceeded €100 million each. These accounted for 62 per cent of turnover, with the Redwood Portfolio the largest sale at €215 million.

Dwyer predicted that the momentum would continue into the final quarter of the year, with a further €1 billion worth of assets expected to trade before the end of 2014. This would push total volumes to €4 billion for the year, an all time record.

Overseas investor interest and domestic players remain “deep”, with multiple bidders for most assets coming on to the market.

Dwyer forecast that when loan sales are added to the turnover, the overall spend was likely to reach €5 billion this year.