Commercial Property

Turmoil in €50bn commercial property market as investors hand office keys back

Investment funds move to seize control of offices as borrowers default on loans while analysts forecast that up to €10 billion could be wiped off the value of Ireland’s commercial property market

As asset values plunge amid a historic cycle of interest rate hikes, owners have begun surrendering properties to lenders in a sign of acute stresses that have emerged recently. Picture: Getty

Investors have started handing back the keys to their office properties as the crisis in Ireland’s €50 billion commercial property market deepens, the Business Post can reveal.

As asset values continue to plunge amid a historic cycle of interest rate hikes, owners have begun surrendering properties to lenders in a sign of acute stresses that have emerged in the market over recent months.

James Anderson, a partner in Deloitte Ireland and a member of its ...