Cork’s construction prospects look sky high

2016 was a pivotal year for construction activity in Cork and nationwide, up by 15% for the year ended, while further growth of up to 20% is expected locally and nationally in 2017, say international asset managers and professional advisory firm AECOM.

Launching AECOM’s 2017 market forecast tonight in Cork, John O’Regan, Head of Programme, Cost and Consultancy, notes that commercial activity was the main driver in 2016, followed up by a pickup in house building with an estimated output of €14.5bn, up from €12.25bn in 2015, which in turn was a 12.5% increase on 2014, indicating a steady trajectory with 20% growth now anticipated by end 2017.

However, Ireland “needs significant infrastructure and residential spend if it is to sustain economic growth,” says Mr O’Regan noting “while construction activity began to pick up in the regions in the second half of 2016, it is still sluggish compared to the greater Dublin area.” While employment in the sector rose 9,000 to Q3 2016, the floor area of non-residential development granted planning floor space was up 70% in the 12 months to July 2016, the AECOM review/preview points out.