Dublin Office Market Q2 2023

  • 405,968 sq ft of office space was let in the Dublin market in Q2.
  • While considerably more than in Q1, when 281,913 sq ft was let, the total for the first half of the year is down compared to the same period in 2022, when businesses took just under a 1m sq ft of space.
  • Smaller deal sizes continued to be a feature of the market in Q2. Of the 52 deals that closed, 43 were for space of less than 10,000 sq ft.
  • The largest deal was the letting of 79,600 sq ft at Haymarket House to the National Transport Authority (NTA).
  • Investment activity slowed considerably in Q2, reflecting the more difficult backdrop being faced by the real estate sector in 2023.
  • Cautious investor sentiment was particularly evident in the office sector, with €41 million transacting across three deals.
  • The largest office deal was the purchase for €34m of No. 87 – 88 Harcourt Street by French investor Remake.
  • Prime yields are under pressure across all sectors. Prime office yields are considered to be close to 5% with the low level of activity making it difficult to be exact.

Joan Henry, Chief Economist & Head of Research, Knight Frank Ireland