Take up in the Dublin office market reached 60,240 sq m between April and June – the strongest quarter since the same period last year.
A new report from CBRE Ireland reveals that two major deals accounted for nearly 75% of activity during the three month period.
Having originally selected its new HQ at College Square in August 2024, Workday completed its signing of a 20-year lease for 38,662 sq m in the last quarter, the largest letting in the Dublin market since Fibonacci Square in 2018, and one of the largest in Europe this year.
In the second largest deal of the quarter, Vodafone agreed to take an assignment of the lease for 5,855 sq m at 70 St. Stephen’s Green from Horizon Therapeutics. The US pharmaceuticals group had previously signed a 20-year lease on the space in May 2021.
The technology sector led take-up during the quarter with a 79% share, while 88% of the take-up occurred in the city centre.
Meanwhile, prime rents held steady at €673 psm, with CBRE Ireland forecasting a rise to €700 psm in 2025.
Today’s report shows that the vacancy rate declined to just over 17%, the first drop in three years.
“Encouragingly, we experienced another solid quarter of deal activity in Dublin, with the trend of landlords delivering fitted space within their portfolio is paying dividends with improved leasing velocity and stronger rents being secured,” said Alan Moran, executive director & head of office leasing at CBRE Ireland.
“The outlook for H2 is not without its challenges, but the level of demand requirements and reserved stock should be supportive to continued momentum over the next six months,” he added.
