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      The Irish Real Estate Lending Survey provides a snapshot of lender sentiment during a period of evolving macroeconomic conditions. At the time of publication, Ireland’s economy remains resilient, with GDP growth forecast at 4–4.5% and record employment of nearly 2.8 million people, even as lenders navigated interest rate shifts and inflationary pressure. 

      Despite this backdrop, participants demonstrated a strong commitment to supporting the real estate sector. All lenders surveyed expected their real estate lending exposure to either increase or remain stable, reflecting a market grounded in promoter quality, robust business plans, and meaningful equity contribution. Residential assets remained the most consistently supported sector across all respondents. 

      This report continues to offer relevant insight into the drivers of lending appetite, underwriting frameworks, and assetclass dynamics that shaped credit allocation at that time.

      Hazel Cryan

      Partner, Corporate Finance

      KPMG in Ireland


      Executive summary — Key insights

      • Lending exposure

        expected to grow or stay unchanged, signalling confidence in market fundamentals. 

         

      • Residential

        Residential remained the strongest focus area for both bank and nonbank lenders across all regions.

         

      • Prelet requirements

        Higher prelet requirements emerged across nonresidential asset classes, especially office and retail, driven by cashflow risk in a shifting occupier market. 

      • ESG-linked lending

        ESG-linked lending became mainstream, with 88% of lenders seeking ESGlinked opportunities and 76% willing to link pricing to ESG outcomes. 

      • Hedging requirements

        Interestrate hedging requirements tightened, with over half of lenders requiring >50% hedging for investment loans. 

      • Underwriting

        Underwriting remained anchored in asset quality, sponsor reputation, and equity strength, the top criteria across all participants. 


      Download the full report

      Irish Real Estate Lending Survey

      (PDF, 2.7MB)

      Get in touch

      For further insights or to discuss current market dynamics, please reach out to our Real Estate and Corporate Finance specialists below. We'd be delighted to hear from you.


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