Tax harmonisation threat to office market

TAX harmonisation could be the biggest threat to the Irish office market.

This view emerged as figures revealed the value of commercial property in Ireland fell by a record level in the first quarter of this year.

Commercial estate agents CB Richard Ellis said that although it is confident that any cyclical slowdown in the office sector will ultimately correct itself, the biggest threat to the long-term sustainability of this sector of the Irish property market is tax harmonisation, “with Ireland’s 12.5% corporation tax rate being the single biggest reason why international occupiers choose to locate here”.