Take-up of over 60,000sq m in the third quarter of 2006 alone is evidence of an exceptional level of activity in the market since the summer period and suggests that over 185,000sq m of office accommodation will be let in the capital this year.

The majority of this activity is focused on the city-centre market, where the vacancy rate has now declined to 8%.

Prime rents in the core city-centre market have risen over the course of 2006 reaching a new record level of 645/sq m in recent weeks, the report states.

Activity in the suburbs remains steady with particularly strong demand from owner-occupiers for owndoor office units ranging between 150sq m and 500sq m.

While activity in the south suburbs continues to dominate, one of the most significant office lettings in recent weeks, the report claims, was the pre-letting of 2,600sq m in the north suburbs to JP Morgan Tranaut in the Northern Cross scheme on the Malahide Road.

One of the more significant news stories in the Irish retail market in recent weeks, according to CBRE, was the granting of planning permission by Fingal County Council for a new Ikea store at Ballymun.

Planning has also been granted for a 60,000sq m extension to The Square shopping centre in Tallaght.

With demand continuing at pace, retailers in Ireland are now gearing up for what promises to be one of the best Christmas trading periods on record.

The industrial sector continues to perform well, with strong activity levels prevailing.

Demand continues to be dominated by owner-occupiers and it appears that recent interest-rate hikes have had little effect on activity, with take-up figures up on the same period last year.

Locations within close proximity to Dublin Airport or at major junctions close to the M50 continue to outperform, the report states.

Prime capital values for starter units extending to less than 300sq m have continued to increase, although values vary depending on what arterial route the property is located on.

At the Stadium Centre in northwest Dublin on the N3 corridor, capital values have now reached 2,045/sq m while along the N7 corridor units at Siac's Baldonnell Business Park have achieved up to 2,236/sq m with only four units remaining in the current phase.

The highest capital values being achieved in the industrial sector are along the N1/M1 corridor, where values of up to 2,960/sq m have been achieved at Airside Business Centre.