Property Industry Survey Results Announced at 2024 Conference

Two out of three (67%) property professionals do not believe the Government’s housing promises are achievable, according to our latest survey.

Taoiseach Simon Harris has committed to building 250,000 homes in the next five years, but the findings underscore significant concerns within the sector about meeting this goal.

The survey, of more than 400 industry stakeholders, was conducted at our annual Built Environment conference, Property, Infrastructure and Investment. It sheds light on critical issues impacting Ireland’s property market, including housing supply, infrastructure priorities, and future demographic trends.

The findings highlight that close to two-thirds (64%) of respondents believe planning regulations are the most significant factor impacting the supply of housing in Ireland. This outweighs concerns about financial resources (13%), land availability (12%) and workforce availability (11%).

Jamie Fitzmaurice, Real Estate Partner, chaired a panel on Housing Solutions and commented: “While there is a level of scepticism around governmental targets, we are seeing some positive signs when it comes to housing supply. There is more capacity in the market in terms of workforce, which could help to reach those targets. Some of the previous issues have abated somewhat, including the post-Covid hangovers, rampant inflation and supply chain issues.

But difficulties still remain and need to be tackled. One of the key takeaways from our event was the critical importance of state intervention in the housing market. The viability of a number of developments depends heavily on state involvement, be that through the Land Development Agency, the local authorities, the Approved Housing Bodies, or those lending to such organisations.”

Reflecting the themes of the conference, the survey addressed the topics of sustainability and demographics. Six out of ten respondents (60%) said that energy efficiency upgrades are the most critical sustainability initiative for the future of real estate investments.

Vanessa Byrne, Co-Head of Real Estate, said: “When it comes to energy efficiency, it’s not just about reducing costs; it's about future-proofing investments and contributing to environmental goals. Sustainability is critically important and organisations are engaging with waves of new regulation from the EU, including the Corporate Sustainability Reporting Directive (CSRD), Sustainable Finance Disclosures Regulation (SFDR) and the Energy Performance of Buildings Directive.

At the same time, fund managers, shareholders and public sector stakeholders must deliver returns on investment. We are helping clients to navigate this rapidly evolving landscape.”

Looking ahead, three out of ten (29%) respondents believe an aging population will most influence Irish property markets in the next decade, while 27% pointed to migration and mobility.

Vanessa, who chaired the panel on Sustainability, Demographics and Valuations, added: "The aging population and migration trends are set to reshape the property landscape. These shifts will demand adaptive strategies to meet changing housing needs and preferences. At Mason Hayes & Curran, we are committed to providing our clients with the insights and tools necessary to adapt to these broad changes, ensuring they remain competitive and successful in the market."

Infrastructure was also a key focal area, with seven out of ten respondents (69%) saying planning hurdles are the biggest barrier to scaling up infrastructure investments in Ireland.

The MetroLink was identified as the most critical project to Ireland's future development (43%), followed closely by Social & Affordable Housing Projects (36%).

David Gunn, Construction Partner, moderated a panel on Investing in Infrastructure and said: “Investing in things like public transport, healthcare and affordable housing not only helps the economy but greatly improves the quality of life for everyone living in Ireland.

A clear pipeline of projects assists the private sector in scaling up and committing to a long-term business presence here. Having certainty around funding makes it clear to the private sector that projects which are planned can and will be built, which is essential for meeting our long-term infrastructure targets.”

Read more about the survey findings in The Irish Times, The Irish Independent and Business Plus, or find out more about our Built Environment team.