Commercial property prices grow across ireland

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Capital vales of real estate increased across all commercial property sectors Ireland in the third quarter of 2013, according to Jones Lang Lasalle.

JLL’s latest figures show that overall returns jumped 3.5 per cent, marking the eight quarter in a row where returns were positive. Overall returns have increased by 9.3 per cent in the last 12 months.

The increase was largely driven by growth of 1.7 per cent in the office sector, followed by a 0.6 per cent rise in retail and 0.5 per cent growth industrial.

Hannah Dwyer, Head of Research, commented: “The Jones Lang Lasalle Irish Property Index had another positive quarter, showing continued signs of a steady recovery for the commercial property sector. The growth in the Capital Values Index in the portfolio is reflecting the uplift in values we have seen in investment market transactions in the last 3 months.”

Hannah also added: “Overall Income increased the quarter, compared to a -1.9 per cent decrease last quarter. Although Income for the portfolio has decreased by -3.8 per cent in the last 12 months, the portfolio is still generating strong overall returns of 9.1 per cent.”

Rental Values increased overall for the second consecutive quarter, with a growth of 0.8 per cent.