Why Cork


Cork Ireland Map

2nd

Cork is Ireland’s second largest city with a population 220,000 people


Cork population

55%

of the population is under 39 years of age


Cork Ireland Map

Fastest

Cork is set to be the fastest growing city under Project Ireland 2040 (over 50% increase)


Cork Excellent accessibility

Accessibility

Excellent accessibility through a modern international airport and hourly train service to and from Dublin


Cork Ireland Map

PRS

Private rented sector in Cork City accounts for 26% of households well ahead of the National average of 18%


Cork rental market

RENT

Year on Year increase in residential rents of 11.4%


Cork is a university city

University

Cork is a university city with over 30,000 students


Cork Ireland Map

Friendliest

Third Friendliest City in the World (Conde Nast Traveler 2018)


Cork Excellent accessibility

Foodie

Gourmet capital of Ireland with Three Michelin Restaurants and home to the renowned English Market


Cork Ireland Map

BEST

Best small city in Europe for FDI 2018/2019 (Financial Times)


Cork rental market

Multinational

Home to over 150 multinational companies employing over 35,000 people


8 of the world’s top 10 Pharmaceutical Companies are located in Cork

8 of 10

8 of the world’s top 10 Pharmaceutical Companies are located in Cork


Cork offices available

Offices

1.8 million sq ft of offices coming on stream


Vibrant Cork

Vibrant

Cork is a vibrant city which is full of character and offers great work life balance


Cork Residential Market


The private rented sector in Cork City accounts for 26% of households, a significantly larger proportion than the private rented sector in the wider county (16%) and across Ireland as a whole (18%). The only other two areas in Ireland to have such a high proportion of private renters are the cities of Dublin and Galway.


During the intercensal period (2011 to 2016) the proportion of private renters in Cork increased faster than the national average, at 2.1% compared with 1.4%, with over 260 new private rented households created in the city over the past five years. The increasing number of private rented households in Cork is creating demand for, and putting pressure on, appropriate housing. According to CSO data, 62% of existing private rented households in Cork are aged under 35, so will be post-university, typically young professionals. Reflecting the demographics of the renter population demand is most pronounced in vibrant locations close to the city centre and is predominantly for smaller units/apartments rather than traditional
‘family’ stock.

Average rents range considerably in Cork, with a two-tier market emerging. According to the Daft.ie Q1 2019 residential rental report the standardised average rent is now €1,331 per month which represents a quarter on quarter increase of 1.3% and a year on year increase of 10.0%.

The average rents reflect the dominance of inferior quality second hand stock. There are just a small number of modern schemes in the City centre that would be considered prime, with rents for two bed apartments averaging between €1,800-€2,000 per month. This demonstrates that there is a significant premium for more high-end rental property, albeit there is limited supply.  


Park Avenue apartment interior
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Residential Investment Market


Demand for PRS investments in Ireland has increased appreciably over the past 12/24 months. PRS investments accounted for just 6% of total investment in the Irish market in 2016, increasing to 10% in 2017 and rose significantly to 30% in 2018.


Demand for PRS investments is fuelled by unique economic & demographic fundamentals and a notable supply demand imbalance in the residential rental sector in cities such as Dublin, Cork and Galway. Investors are encouraged by the inherent supply demand dynamics of the Irish market viewing PRS as a stable asset class that is likely to perform well over the long term.

Over 130 residential investment transactions extending to more than €1 million have been completed in Ireland since 2012, with 2018 being the strongest year so far in terms of the number and volume of transactions. €1.142 billion of residential investment transactions were completed during 2018 alone, representing 30% of all investment transactions – a dramatic increase in a one-year period. However, it is a trend which has become evident in the European market over the last 10 years. In the period between 2012 and Q1 2019, 86% of residential investment transactions in the Irish market were in Dublin. Outside of the capital, Cork accounted for the greatest proportion of transactions (46%) in the period, followed by Galway at 12% and Limerick at 3%.

According to CBRE Research, there is currently in the order of €6.3 billion targeting the Build-to- Rent sector in Ireland at present with most of this capital concentrating on the Dublin market. This has increased from the previous year of approximately €5 billion. There has been a shift in the allocation of resources from the various jurisdictions with higher allocations seen from Europe, Ireland and Canada compared year-on-year.

The successful sale of The Elysian (206 apartments) has provided a strong endorsement of the strength and depth of the demand for quality multifamily investments in Cork city. This was followed by the successful sales of City Square, Blackpool (140 apartments) and the Quadrants & the Crescent, Ballincollig (165 apartments).


Residential Investment Market in Cork
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Sales Agent


CBRE sales agent for Park Avenue Douglas Road, Co. Cork

Apartments:


Commercial: