Commercial vacancy rate in Cork rises to 12.2%

The commercial vacancy rate in Cork increased by 0.5 percentage points (pp) to 12.2% in Q4 2020, according to the latest GeoView Commercial Property Report published by GeoDirectory and EY-DKM, lower than the national average of 13.5%.

Cork accounted for 11.3% of the State’s total commercial stock of 211,677.

The findings of the report suggest that the impact of the Covid-19 pandemic on the commercial property landscape in Ireland has not yet been fully realised. However, key trends and indicators are beginning to emerge.

COMMERCIAL VACANCY TRENDS

An increase in commercial vacancy rates was recorded in 19 counties in Q4 2020 when compared to the corresponding period in 2019. This included every county in Munster, Ulster and Connacht. Of the five counties to record a decline, all were located in the Leinster region.

The seven counties with the highest commercial vacancy rates were all located along the west coast of Ireland, with almost onein- five commercial properties vacant in Sligo (19.9%), the highest in the country.

With the exception of Kildare (14.4%), all counties in the Greater Dublin Area registered commercial vacancy rates lower than the national average, with Meath (10.1%) recording the lowest rate. In the capital itself, the vacancy rate fell marginally by 0.1pp to 11.9%.

MUNSTER

Despite a YoY increase of 0.4pp, the average commercial vacancy rate in Munster (13.5%) was on a par with the national average of 13.5% in Q4 2020. Across the 21 locations selected in Munster, the two towns with the highest vacancy rates were in Co. Clare, namely Kilrush (25.9%) and Shannon (23.7%). Carrigaline, Co. Cork recorded the lowest vacancy rate at 8.3%, followed by Killarney at 10.6% and Midleton faring well at 11.9%. Mallow recorded a rate of 15.1%, Dungarvan 15.4% and Clonmel 18.5%.

Of the urban areas in Cork sampled, Youghal (19.1%) had the highest commercial vacancy rate.

Vacancy rates increased in twelve of the towns sampled in the past year, with the most significant increases in Abbeyfeale, Co. Limerick (+4.4pp) and Cobh, Co. Cork (+2.9pp). Kilrush, Co. Clare had the highest occupancy rates generated by Retail and Wholesale businesses in Ireland in Q4 2020; a third (33.3%) of all occupied premises with a NACE code were dedicated to the sector

OVERALL

The analysis has found that Ballybofey in Co. Donegal, at 29.2%, was the town with the highest commercial vacancy rate amongst 80 towns sampled, followed by Edenderry in Co. Offaly (27.5%) and Edgeworthstown in Co. Longford (26.9%).

Greystones in Co. Wicklow, at 7.2%, continued to have the lowest commercial vacancy rate across the 80 towns, while Gorey in Co. Wexford (8.1%) and Carrigaline (8.3%) also posted noticeably low vacancy rates.

In Dublin, the highest commercial vacancy rate was found in Dublin 9 (16.4%), representing a 1.9 pp increase on Q4 2019 figures. Dublin 15 was the postcode with the lowest vacancy rate at just 6.2%.