Dublin is second best city for real estate investment
Study shows cities hit hard during recession back in fashion
No 2 Harbourmaster Place, IFSC, Dublin, one of a number of office investments in the area to have changed hands last year. Photograph: Eric Luke/Irish Times
Dublin remains the second best city in Europe for real estate investment and development, according to a new report.
The Emerging Trends in Real Estate Europe 2015 study, which is published jointly by the Urban Land Institute and PwC, highlights a surge in popularity for investment opportunities in a number of cities that were hit particularly hard during the last market downturn,. These cities include Athens, which rose by 23 places in the latest rankings, and Lisbon, up 17 positions.
Berlin was named as the best European city for real estate investment, followed by Dublin and Madrid. Last year’s top ranking city Hamburg and Athens round up the top five investment markets.
The report said that in 2014 Dublin recorded another strong year in which investors jostled for opportunities.
“It has a good story to tell: strong rental growth based on low supply, employment growth and an improving economy. Office rents and values are recovering strongly but still have some way to go before they reach their pre-crisis peak,” the report said.
The study finds that in spite of economic uncertainties in Europe, property remains fertile ground for investors. As many as 70 per cent of investors said they expect more equity and debt to flow into their markets this year in a quest for the best real estate.
The biggest problem investors anticipate is a shortage of assets, ahead of the challenges of regulation or the cost of finance.
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