Pent up Demand for Docklands Property
In a new publication Owen Reilly, the Docklands estate agents have drawn attention to the strong asking prices and pent-up demand for property in the area.
In a year when the agency achieved sale prices that were consistently 1.4% above asking, the report highlights average fourth quarter asking prices for the agency’s listings that were 54% and 12% higher respectively than the figures published by property website Daft.ie for Dublin’s City Centre and Dublin South City. The average price for a Docklands apartment listed by Owen Reilly during the fourth quarter was €379,000, while the average asking price for Dublin South City residential property was €339,550. Owen Reilly’s publication, Observations on the residential property market in Dublin’s Docklands, highlights strong rents and strong selling prices across the board.
An active member of the Docklands Business Forum for over five years Reilly established his estate agency in the Docklands in 2008 and has lived in Grand Canal Dock since 2006. He has observed the transformation of the Docklands and is very positive about the areas property market, “2015 was a very good year for the agency’s clients: Our Dockland landlord clients received rents of on average €2,078 per month – more than twice the national average and 64% higher than the Dublin average.” He continues: “We estimated that the average rental yield in the area was 5.8%.” 2015 was an excellent year also for sales; the report highlights sale prices achieved that were 1.4% above asking and prices per square meter that were on average €5,130 (€477 per square foot).
Owen Reilly is optimistic about the Docklands market in 2016; he says: “While we all look forward to the next phase of development that is going to add value to the area, realistically demand will outstrip supply in the area in the near-term; all over Dublin Docklands planning permissions are given but construction is slow to start and, in all cases, commercial elements of schemes will be provided in advance of residential.” He believes property owners and investors in the Docklands will continue to do well this year; he says, `if he had to call it’, he would say that price increases of ‘5% are possible’.