From Slump to Surge? The Construction Sector’s Big Question

Join host Jason Rehill from the AIB Treasury Services team, alongside AIB Senior Economist John Fahey, and special guest Pat O’Sullivan, Head of AIB Real Estate Finance Research, as they discuss the final Construction PMI survey reports for 2025 in this special episode of AIB Market Talk.

Tune in as they discuss: 

• The key aspects of the construction index number with commercial and residential construction falling below 50 in November with activity losing momentum. 
• The Irish CRE market which has fallen by both 30 - 40% giving a significant decline seen since the 1970s.
• Employment growth and firms pushing to return to high-quality office space are supporting selective demand, particularly for prime assets. However, vacancy rates remain elevated, and financing conditions are still tight.
• Ireland’s commercial property offering some of the highest yields in Europe, attracting renewed investor interest after recent value corrections.
• A review into what the construction sector should look like in 2026.

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