Housing completions rose by 35pc in the second quarter of this year
Apartment completions in Q2 stood at 3,053, more than double the number built in the same quarter of last year, reflecting an uptick in a sector which developers have regarded as uneconomic. There were 1,566 apartment completions in the second quarter of 2024.
The year-on-year increase in completions of new dwellings was seen in six of the eight regions of Ireland, including an 85pc rise in Dublin to 3,822. More than eight in 10 of the apartment completions were in the capital city, and the CSO says that 97pc of all completions in the Dublin City Council area over the last three months were apartments.
The figures mean that the total number of new dwellings completed in the first half of 2025 is 15,152, which is up from 12,730 recorded at the same time last year. At this point in 2023, there had been 13,923 completions.
The Government has an official target of 41,000 units this year, which it is standing by, although Mr Browne recently conceded that the aim is 'not realistic'. It was set before the general election last year, at a time when the then Government was predicting up to 40,000 houses would be built in 2024. In the event, the number was 30,300.
Several independent bodies, such as the Central Bank and the ESRI, are predicting that output this year will be somewhere between 32,000 and 34,000. Building completions are often at a higher level in the second half of the year, so there could well be an improvement on the 15,152 of H1, but the final figure is likely to be in line with the Central Bank's estimate.
James Browne, the minister for housing, has been pulling a variety of policy levers in a bid to improve construction output. Earlier this month he announced that big social housing projects being developed by local authorities will no longer have to go through a four-stage process to get approval and funding. This is being reduced to one stage.
The minister also issued new design standards for apartments, reducing the minimum size allowed. They can now be as small as 32 square metres, and restrictions on the mix of apartment sizes in new developments have also been relaxed.
His department has said the changes should result in a saving of between €50,000 and €100,000 in the cost of building an average apartment. Developers who already have planning permission for apartments can now change their designs in line with the new regulations.
It now appears that the construction industry has turned its focus to completing many of the dwellings that were officially 'commenced' last year. There were only 1,356 commencement notices for new homes lodged in June, the lowest total for that month since 2020, during Covid.
The Department of Housing said the total number of commencements in the year to date was 6,325. At the same point last year, it was 34,581, a figure that was artificially inflated as developers were rushing to avail of a waiver on water-connection charges and development levies.
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