Transaction levels in Northern Ireland’s commercial property investment market almost tripled over the last 12 months, leading commercial property agent CBRE NI has revealed. A total of £294 million was invested across 33 completed transactions during 2025, representing an increase of £176m when compared with 2024.
Retail once again dominated the investment landscape, accounting for 75% of total investment spend during the year. Retail has now been the largest investment sector in Northern Ireland for the past 15 years, with the exception of the office-led markets in 2019 and 2021.
The average deal size also rose significantly, from £4.9m in 2024 to £8.9m in 2025, highlighting a renewed level of confidence among active investors.
Commenting on the market, Gavin Elliott, Senior Director at CBRE NI, said:
“Last year marked a clear improvement in market liquidity, with a substantial increase in completed transactions compared with the previous year. While pricing across most sectors remains flat, the depth of activity we have seen is encouraging and reflects growing confidence as interest rates begin to ease.
“This uplift in transaction volumes was supported by a more favourable macroeconomic backdrop, including four interest rate cuts during the year, with rates falling from 4.75% to 3.75%, alongside increased spend from Great Britain and international-based investors targeting opportunities within the region.”
Several high-profile transactions were completed during the year, including Sprucefield Retail Park, which sold for £51.5m to Realty Income; Abbey Centre in Newtownabbey, acquired by The Herbert Group for £58.8m; Tesco Extra in Craigavon, which transacted for £25.6m to Supermarket REIT; Erneside Shopping Centre in Enniskillen, sold for £12.4 million to Muntermellan Limited, and Riverside Retail Park in Coleraine, sold for £30 million to Magmel.
Domestic investors continued to be the most active buyers, accounting for 60% of total investment spend. While this represents a reduction from 70% in 2024, the total capital deployed increased significantly from £82m to £176m.
Looking ahead, CBRE NI anticipates a steady improvement in market conditions during 2026, driven by further interest rate reductions and improving occupier and funding market sentiment.
Gavin added:
“The Grade A office sector will be one to watch in 2026. Current pricing relative to rebuild costs, combined with increasing demand and a shrinking supply of high-quality accommodation, points towards strong rental growth for best-in-class assets over the coming years.
“Retail assets are also expected to continue performing well, particularly well-managed and well-funded retail warehouse parks and shopping centres, as the buyer pool continues to expand. Prime High Street properties, if priced correctly, are also forecast to see renewed investment and rental growth as vacancy rates tighten in core locations.
“Despite ongoing political and economic headwinds, alongside continued development viability challenges, CBRE NI expects further transactional activity across existing stock in all sectors, building on the momentum established in 2025.”
For more information on Northern Ireland’s commercial property market, visit www.cbreni.com.