Momentum in the Irish commercial property market held up inthe first half of the year, with 34 investment transactions of more than €1 million completed, according to consultants CBRE. Last year, 35 similar deals were transacted in the whole of 2012.

According to CBRE, the total value of asset sales, for properties with a value of greater than €1 million, was more than €603 million, which is higher than the volume of transactions recorded in the market during the entire year last year.

Marie Hunt, executive director with CBRE Ireland, said there has been strong demand for prime Irish real estate, particularly in Dublin, as has been evidenced by the volume of transactions and the pricing achieved for some trophy assets over the first six months of 2013.

“Prime yields have contracted faster than was anticipated during the first six months of this year. The focus for the next few months will be to finalise the many transactions that are currently in negotiations and in legals with a lot of new properties expected to be released for sale in the early Autumn. This is clearly necessary with more buyers than sellers in some parts of the market. The ending of the Capital Gains Tax waiver at the end of 2013 will undoubtedly boost transactional volumes in the latter half of the year as buyers vie to get transactions closed by year-end,” she said.

Notable investment transactions completed in the second quarter of 2013 include the sale of the Clancy Barracks multi-family investment and adjoining 8.5 acre site to Kennedy Wilson for approximately €82 million; the off-market sale to new market entrant Credit Suisse of the La Touche House office investment in the IFSC for €35 million, reflecting a yield of 12 per cent; the sale to an Israeli investor of an apartment investment off Baggot Street, Dublin 4 for €6.1 million, and the sale of an AIB bank branch at Rathgar, Dublin 6 for €4 million, reflecting a yield of 7.5 per cent.

The survey excludes loan sales.