Leasing of Dublin office space rebounds rising 62%

One of the notable deals agreed between April and June was BNY's leasing of 85,000 sq ft at the newly completed Shipping Office in the South Docks. 

The leasing of commercial office space in Dublin experienced a bit of a resurgence between April and June with deals agreed to take up a combined 900,000 sq ft of space, a new report from property consultants HWBC has said.

This brings the total take-up during the first half of the year to 1.1 million sq ft — 62% higher than during the same period in 2023. The average deal size now stands at around 15,000 sq ft.

The current vacancy rate across the Dublin office market is 16.5%.

Notable deals include BNY's 85,000 sq ft lease at the newly completed Shipping Office in the South Docks and Mark Anthony Brands' expansion to 44,000 sq ft at One Charlemont Square.

The report also notes that the pipeline of potential deals for the second half of the year “appears strong” with several large requirements expected to contract.

Workday, for example, is actively considering locations for a 400,000 sq ft campus to consolidate and expand its operations in Dublin.

The report added that other major requirements from companies such as Deloitte, EY, and ESBI are expected to add around 700,000 sq ft in potential lettings, which could see the total take-up for 2024 exceed two million sq ft.

On the supply side, a total of two million sq ft of new office completions are anticipated by the year-end with 41% of this space already reserved.

Director at HWBC, Paul Scannell, said the demand across sectors, including health, government, finance and tech “demonstrates the resilience and appeal of Dublin as a prime office location”.

“Looking ahead, we anticipate that the market will tighten post-2026. This means that the window of opportunity for occupiers to secure prime office space at favourable terms is gradually closing,” he said.