Ireland Retail Investment Market Overview August 2022

€6.8 billion has been invested in retail assets since 2013. 82% of that total has been invested in high streets, shopping centres and retail parks nationwide.

Six regional shopping centres have traded to date in 2022, totalling €116m. The largest three were the sales The Manor West Shopping Park in Tralee for €55m, Corrib Shopping Centre in Galway for €18.2m and City Square Shopping Centre in Waterford for €18m. There has been one high street transaction in 2022 and that was the off-market sale of 109 Grafton Street for €3m.

Current market opportunities include the Charlestown Shopping Centre, Dublin 11 and Marshes Shopping Centre, Dundalk, Co. Louth which are guiding €39.5m and €33.5m respectively.

Retail warehousing opportunities are expected to continue to be sought after by investors, while supermarkets are also experiencing strong demand due to the long leases and strong covenants.

Consumers face the challenge of weighing the positives of strong employment growth against the impact of rising inflation and higher interest rates. While more caution is expected in the second half of the year and into 2023, fundamental factors that drive Irish retail demand remain in place and will support the sector in the longer term.

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

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