The Central Bank has warned that Dublin office vacancy rates could spike to as much as 26 per cent in the next two years in a severe scenario, as the market continues to be subject to significant uncertainty.
‘I remember what it was like to count my pennies. Money allows me to live a life I’ve always dreamed of’“Certain secondary, non-prime markets are likely to be particularly vulnerable to considerations around energy efficiency.” The domestic banks currently have €12 billion of commercial property loans on the books, equating to about 10 per cent of their portfolios.
“More broadly, market intelligence and transaction data suggest that a meaningful proportion of CRE assets are likely held by, or funded by, overseas entities on a cross-Border basis. While more international investor participation, which has been a feature of global CRE markets for many years, can increase risk associated with capital inflows and a more amplified asset price cycle, it also mitigates domestic financial stability risks through risk-sharing mechanisms when shocks hit.
However, rising geopolitical tensions mean further shocks are possible, creating a particular concern for an open, highly-globalised economy like Ireland.
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: IrishTimesBiz - 🏆 6. / 77 Read more »