Dublin Industrial & Logistics Market Records Major Rebound as Take-Up Surges

Dublin’s industrial and logistics market saw a significant rebound in activity during Q1 2025, with take-up reaching 560,000 sq ft – almost three times higher than the same period last year and the highest Q1 figure since 2022.

According to Savills Ireland, the recovery was driven by strong demand for larger units, with three deals over 50,000 sq ft completed during the quarter. This included the largest letting of 172,300 sq ft at Block Q1, Aerodrome Business Park, followed by significant transactions at Northwest Logistics Park and Horizon Logistics Park.

“After a muted 2024, it’s encouraging to see the industrial and logistics sector return to more typical levels of activity,” said Jarlath Lynn, Director of Industrial & Logistics at Savills Ireland. “The renewed demand for larger units reflects the ongoing strength of Ireland’s key industries and the resilience of our supply chain infrastructure.”

Pharma Sector

Ireland’s globally important pharmaceutical sector also remains a central part of the industrial property story. With ongoing geopolitical uncertainty and policy changes aimed at reshoring pharmaceutical manufacturing to the US, Ireland continues to play a vital role in global supply chains.

However, as recent analysis by GetReskilled shows, reshaping global pharmaceutical manufacturing is a long-term process. Developing a new production facility can take five to twelve years, requiring extensive site identification, planning, regulatory approvals, and phased production ramp-up. This long lead time underscores Ireland’s continued importance in meeting global pharmaceutical demand, particularly as the country remains a preferred location for high-value manufacturing and logistics operations.

“With the development timelines involved, Ireland’s position as a strategic base for pharmaceutical and life sciences companies is secure for the foreseeable future,” added Lynn. “Ongoing demand from this sector continues to support industrial property activity and underpins the wider economic contribution of the logistics market.”

Rents

Prime rents held steady at €13 per sq ft for the seventh consecutive quarter, but are anticipated to increase in Q2, while secondary rents saw moderate growth, reaching €11.25 per sq ft.