Retail Dominates, Alternative Sector Sees Decline but Expected to Rebound
- Northern Ireland’s commercial investment sector records £338m in total investment volumes in 2023
- Retail sector dominates with 67% of the total spend, office sector follows at 18%
- Investment sales exceeded 2022’s £330m tally, strongest performance since 2015
- Domestic investors account for 74% market share, institutional investors and property companies 24% and 2% respectively
- Alternative sector sees decline to 7%, expected rebound in 2024
- Demand for quality assets with strong ESG credentials remains high
Northern Ireland’s commercial investment sector defied economic challenges in 2023, recording £338m in total investment volumes, according to CBRE NI. The sector saw 31 transactions, surpassing the previous year’s £330m and marking its strongest performance since 2015. Retail emerged as the dominant sector with a 67% share, followed by the office sector at 18%. Domestic investors held a 74% market share, while institutional investors and property companies accounted for 24% and 2%, respectively. The alternative sector saw a decline to 7%. However, CBRE NI predicts a strong rebound in 2024. Demand for high-quality assets with strong ESG credentials remains robust, prompting occupiers and landlords to focus on reporting and improving their ESG performance.
Factuality Level: 10
Factuality Justification: The article provides accurate information about the performance of Northern Ireland’s commercial investment sector in 2023, citing specific transactions and market shares. It also includes expert commentary from Gavin Elliott, senior director at CBRE NI, which adds credibility to the data presented.
Noise Level: 3
Noise Justification: The article provides relevant information about the performance of Northern Ireland’s commercial investment sector in 2023, with specific examples of notable transactions. It also includes insights from an expert on expected trends for 2024 and the importance of ESG credentials. However, it could benefit from more analysis or context on the broader economic factors affecting the sector and a deeper dive into the reasons behind the decline in alternative sectors.
Financial Relevance: Yes
Financial Markets Impacted: Northern Ireland’s commercial investment sector
Financial Rating Justification: The article discusses the performance of Northern Ireland’s commercial investment sector, investment volumes, and market trends in 2023. It also mentions the impact on various sectors such as retail, office, and alternative sectors. This is relevant to financial topics as it involves investments, transactions, and market performance.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no mention of an extreme event in the last 48 hours.
www.retailsector.co.uk