Galway has the second highest commercial vacancy rate in the country, standing at 17.6% as of Q4 of last year, as that number continued to rise.
The latest GeoDirectory report found that Galway’s commercial vacancy rate increased by 0.7% in the last three months of 2022.
The level of commercial properties empty in Galway is well above the national average of 14%, and second only to Sligo at 19.6%.
Of the urban areas in Galway surveyed, Tuam had the highest commercial rate at 25.2%, while Loughrea had the lowest rate at 16.8%.
Dara Keogh, Chief Executive of GeoDirectory said, “The rate of commercial vacancies is the highest level recorded by GeoDirectory since the Commercial Vacancy Rates Report began in 2013, continuing the trend of increasing rates in recent years.”
“It is likely that this will continue in the short to medium term, as working-from-home becomes more formalised, combined with the growth of online retail and services, resulting in businesses requiring less physical space than previously.”
According to the report the commercial vacancy rate in Ireland hit a ten year high of 14%, the highest level recorded by GeoDirectory since they began in 2013.
The report, prepared by EY, found that commercial vacancies increased in 18 out of 26 counties.
Sligo, at 19.6%, was the county with the highest commercial vacancy rate, followed by Galway (17.6%) and Donegal (17.5%).
The west of the country continued to record high commercial vacancy rates in Q4 2022, with the commercial vacancy rate in Connacht reaching 17.6%, an increase of 0.3% compared to the same period in 2021.
Meath (10.2%) remained as the county with the lowest commercial vacancy rate in the state, closely followed by Wexford (10.4%) and Kerry (12.2%).
In Dublin, the commercial vacancy rate was unchanged from Q4 2021 at a rate of 12.9%, which remains the highest level recorded in Dublin since Q4 2016.
Annette Hughes, Director of EY Economic Advisory Services said, “Only five counties in the country recorded a decrease in commercial vacancy rates, while counties along the west coast continue to exceed the national average.”
“Looking at specific economic sectors, there was a notable drop in the number of Service and Retail & Wholesale units, which points to the ongoing challenges these sectors face due to evolving economic trends and geopolitical uncertainties.”
