Retailers struggle to secure prime Dublin space
Published: 22 June, 2011
New research from Savills Ireland shows Dublin’s Grafton and Henry Streets are recording occupancy rates of 98.1 and 99.4 per cent respectively
Rents on new prime zone A lettings have fallen by up to 50 per cent to pre-boom levels, achieving €4,000 per sq m pa on Grafton Street and €3,000 on Henry Street. And the agent forecasts 2011 will see Grafton Street achieve near to full occupancy by the end of the year with the arrival of two new retailers .
Take up from new retailers has lead to a scarcity in supply with very few small units available causing increasing demand for adjacent locations such as College Green, which will see the opening of Abercrombie and Fitch later in 2011. New retailers to the area have included Disney Store, Pandora, Sketchers and Forever 21 – all have opened stores on these key streets in the past year.
Larry Brennan, head of retail for Savills Ireland, said: “The high levels of demand has led to a number of unsatisfied requirements and has seen some retailers looking at less prime locations surrounding Grafton and Henry Streets. These low vacancy rates will see a positive outlook for the streets as new stores continue to open. While the improvement in occupancy levels is encouraging, it is still a tenants market and we do not predict a return to significant rental growth at this time.”
