According to a new report by property advisor, Savills Ireland, the market has recorded 364,500 sq ft of take-up so far this year, spread across 24 leased units.

The market's resilience is further highlighted by the large deals agreed in the year. The largest was the 67,700 sq ft letting of Unit 2 at Watergrasshill Business Park to Zeus Packaging. This was closely followed by Kuehne+Nagel's pre-letting of a 67,200 sq ft unit at Anchor Business Park in Little Island. Fastway and PFH Technology Group also secured significant spaces, contributing to the market's vibrancy.

Rental growth has been underpinned by tight supply dynamics, with few modern units available for immediate occupation. This scarcity has driven prime rental rates from €11.00 per square foot to €11.75 in Q3.

The majority of the take-up has been focused on the East suburbs of Cork, driven by the area's infrastructure, including access to major motorways and proximity to Cork Airport and the Port of Cork.

Niall Guerin, Director at Savills Ireland, commented:

"The Cork industrial and logistics market is showing incredible resilience and growth. The strong demand, particularly in the East suburbs, is a testament to Cork's strategic position and robust infrastructure. We are seeing a significant shift towards longer lease terms, reflecting the market's confidence and the ongoing demand for high-quality warehouse space."

Looking ahead, the market is expected to remain undersupplied with a stable vacancy rate below 2.0%. Rental growth in Cork has surpassed that in Dublin, with a 6.8% increase year-to-date, signalling a positive outlook for the sector.