CIS

06

Oct

2024

Construction Information Services (CIS) provides an overview of some of the residential projects currently under review as well as key developments that have recently broken ground.

Ireland’s housing market is undergoing a period of transformation as developers continue to respond to the growing demand for residential units. In recent months, several large-scale residential developments have been submitted for planning approval across the country, marking a significant push to address the ongoing housing shortage.

While rural areas see slower growth in property prices, there is growing interest in picturesque areas or those close to cities. However, rural development remains constrained by limited infrastructure and fewer job opportunities, creating an affordability gap that is particularly acute in urban centres like the Greater Dublin Area (GDA).

Construction constraints and market challenges

While the Irish government has implemented measures such as the Help to Buy scheme for first-time buyers and initiatives to promote higher-density developments in urban areas, the construction sector is struggling to meet the surging demand. Issues such as skills shortages and rising materials costs continue to hamper the speed and volume of new home developments.

Landlords have been exiting the rental market due to increasing regulations and lower returns, further tightening the already stretched rental market. This has pushed rents to new heights, with fewer mortgage approvals for residential investment lettings exacerbating the issue.

Despite historically low interest rates keeping mortgage demand strong, potential future increases could impact affordability, slowing down the housing market and cooling buyer demand.

Medite Smartplay

Government initiatives

The Irish government has introduced several initiatives to address the housing shortage. One of the most impactful is the temporary waiver on development contributions under the Planning and Development Act 2000. This policy has stimulated a notable increase in house starts, with CIS reporting a 660% rise in house starts as of April 2024 compared to the previous year.

McHugh Property Holdings’ Clonsilla apartment development, Co Dublin.

Planning applications in progress

In the landscape of recently submitted planning applications, several large-scale residential developments stand out. One project is a €38m residential development in Dunboyne by Carroll Estates Dunboyne Limited, which aims to deliver 171 housing units to meet growing demand in the area.

Meanwhile, Marshall Yards Development Company Limited has proposed a €36m project in Balbriggan, with 197 residential units complemented by open spaces and essential infrastructure.

In Cork’s Little Island, Ruden Homes has submitted a €36m mixed-use proposal for 172 residential units, including houses, duplexes, and apartments, alongside community amenities such as a creche.

If approved, these plans will play pivotal roles in alleviating the housing pressures in their respective areas.

CIS
Glenveagh Homes’ Ballymastone residential development, Donabate, Co Dublin.

Planning approvals secured

Among the most significant recent approvals is Glenveagh Homes Limited’s €71m project at Ballymastone, Donabate, Dublin, which will introduce 364 residential units. This ambitious development aims to tackle Dublin’s housing demand by offering a mix of houses, duplexes and apartments alongside ample green spaces for community living.

In Waterford, Monaco Limited has received the go-ahead for a €52m development on the former Waterford Crystal Sports and Leisure Centre site. The project, which includes 292 residential units and a standalone creche, is set to revitalise the Cork Road area, providing both housing and local amenities.

CIS
Oakfield Park housing development, Dunboyne, Co Meath.

Projects breaking ground

Work has commenced on several large-scale schemes that will shape Ireland’s housing landscape. In Dunboyne, Co Meath, the development of 155 houses and two duplex blocks marks the beginning of a larger project that will eventually deliver over 700 units. Similarly, in Dublin, Cairn Homes Plc has started construction on 268 Build-to- Rent apartments at Northwood Crescent in Santry Demesne, offering modern amenities like shared workspaces and rooftop terraces.

Looking ahead: Housing supply and economic growth

The ongoing housing crisis in Ireland is not limited to urban areas. Rural regions, while experiencing lower demand, also face challenges such as underdeveloped infrastructure and a lack of job creation.

Looking ahead, the government’s ambitious Housing for All plan aims to deliver 33,000 new homes annually. While a promising initiative, some estimates suggest that more than 50,000 homes per year may be needed to address Ireland’s chronic housing deficit.

Dave Thompson, Commercial Director CIS, comments: “The housing market in Ireland is at a critical juncture. Despite promising developments and government intervention, issues of affordability, supply, and economic stability will continue to dominate the conversation.

“As urban centres face growing demand and rural regions seek investment, the effectiveness of ongoing initiatives will be key to stabilising the market and ensuring Ireland’s housing needs are met.”

About CIS

Construction Information Services (CIS) has been providing reliable, verified, and real-time insight and intelligence on the Irish construction sector for more than 50 years. The Irish market leader’s research teams, based in Banbridge and Dublin, combine ongoing outbound outreach with the latest technology to deliver trusted information that helps businesses or organisations make informed decisions. Its services are used by blue-chip brands in the private and public sectors throughout the island of Ireland. CIS service subscribers can access information on around 140,000 construction projects in NI and RoI. Visit  www.cisireland.com

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