Robust Investment Surge: Irish Commercial Property Market Sees Strongest Q2 in Four Years
Investment in Irish commercial property has surged past the €1 billion mark in the past three months, achieving the strongest second quarter performance in four years, according to data from real estate giant CBRE (source: Irishexaminer.com).
Portfolio Sales Drive Growth
The rise in investments was bolstered by a significant portfolio sale, with One Molesworth Street in Dublin 2 being sold for €110 million. This transaction, completed from Henderson Park to MEAG, the investment arm of Munich Re, marked the largest office deal in Dublin since the Salesforce Tower was sold in 2022.
CBRE highlighted that this quarter’s spending was significantly higher than the same period in 2025, which saw just over €380 million in transactions.
Key Sector Investments
Office investments continued to flourish with the sale of One Haddington Buildings in Dublin 4 for over €27 million to Manova Partners on behalf of Mapfre, marking a total office investment of over €180 million for the quarter.
The residential sector captured approximately 23% of the investment, buoyed by the €84 million transaction of Project Lime, a large social housing portfolio. Additionally, Greystar acquired a student housing asset in Dublin 7, LIV Dublin, for €40 million.
Recovery and Confidence in Residential Investment
CBRE attributes the revival in residential investment to “plentiful availability” of debt and improved regulatory clarity, attracting institutional capital back into the market. The agency anticipates more assets entering the market in the latter half of 2026.
Shifts in Capital Allocation
This quarter also noted a significant presence of European insurance and reinsurance capital. MEAG’s acquisition exemplifies a “structural shift” in how continental European insurers allocate long-term capital.
Sector Activity Overview
The industrial and logistic sectors led the first half of the year, accounting for approximately 36% of volumes, largely due to the Horizon transaction. Residential investment, spanning social housing, private rental, and student accommodations, followed closely, representing about 31% of the total.
Office investments held the third largest sector share, with nearly €300 million in transactions, led by the substantial sale of One Molesworth Street. Retail also had a notable presence, evidenced by the sale of the ILAC Shopping Centre for €45 million.
Market Dynamics and Future Outlook
Commenting on the performance, Kyla Rothwell, head of capital markets at CBRE, remarked, “The sale of One Molesworth Street shows an appetite for prime office properties in Dublin at the right price. The breadth of buyer profiles – European insurance capital, tier 1 institutional capital, REITs, and domestic money – highlights a more liquid market than in recent years, with a promising pipeline for the second half.”
