US investment has continued to increase as Ireland’s economy continues to show all the right signals. Investment has been seen across the board but primarily in the commercial and residential building and of course through tech companies which continue to dominate the docklands of Dublin.
The American chamber of commerce commented on this increased investment and hopes for the future during a recent conference which was attended by the Taoiseach.
American chamber of commerce
The American Chamber of Commerce hosted its inaugural ‘US Ireland Business Conference – At the Heart of the Transatlantic Economy’ in which speakers voiced their welcome of the news.
There was a new president Mark Gantly and also the announcement of the 2019 US Ireland business report. It was from this that most of the findings for the increase in investment were noted. The report detailed some of the companies which operate in both countries, the number of employees and plans for progression in the future, some of these details are noted below.
The primary focus of the conference is to explore ideas that are central to both countries and companies success. Some of the themes of the conference include:
1. Ireland – an island of opportunity at the centre of the world
2. The State of Play – Two Way Investment, Trade Relations and the current Geo Political Climate
3. Ireland – an island of innovation at the heart of the transatlantic relationship
4. Regulating for a Digital Economy – Trust and Security
This was recorded by Businessworld.ie.
The American chamber of commerce said that invest in Ireland is at an all-time high and is likely set to continue as firms choose to business here post-Brexit.
The chamber said that investment there exceeds that of South America, Africa and the middle east combined.
Over 700 US companies employ 155,000 people directly in Ireland and support a further 100,000 jobs indirectly. These include tech giants such as Facebook, Youtube and Twitter and a host of investment and banking firms.
Mark Redmond, CEO of the American Chamber, said Ireland is an “absolute location of choice for US investment”, and it is a two-way story.
Irish investment in the US is also at an all-time high and exceeds that of Australia, China and India. “Around 800 Irish companies are employing 100,000 people across the US,” he said.
Some of the reasons for this continued trust in the Irish market include Irelands favourable corporate tax rate, English language, access to the European market among others. Although Mr Redmond said the tax rate is only a small reason.
US companies are more concerned about creating and attracting new talent, he said.
“For sure, the 12.5% rate is really important but quite frankly the top five priorities of US companies in Ireland is all talent-related, such as the STEM talent pipeline, and encouraging girls to pursue STEM subjects and careers.” as noted by RTE.
One US property giant which has announced a continued interest in Ireland with plans to spend more than €530 million between now and 2022 is Kennedy Wilson. This investment is part of residential and office projects being completed by the company and a number of partners.
The company is part of a consortium and has a large stake in the so-called city block 3 site in Dublin. This site is developing [ed at the moment along with its partners Axa investment managers and Cain capital recorded the Independent.
These details have been released in an annual report released this week. The block 3 sites were purchased from Nama and the consortium is developing office and apartment spaces along sheriff street upper and Mayor street upper.
The company also plans to develop a site in Stillorgan south county Dublin which is still in the planning stage.
“Last year, Kennedy Wilson paid €160m for 274 of 507 completed apartments on a four-acre site in Stillorgan, called Grange. The property group notes in its annual report that it expects to build an additional 235 apartments at the site, for a development cost of roughly $47m (€41m)” noted the Independent.
Kennedy Wilson has acquired at least €1.5bn worth of assets in Ireland since the downturn. It currently has $16bn (€14bn) of assets under management.
Of course, there has been some concern from experts especially in relation to residential properties. Some have viewed the increased difficulty first-time homeowners face as corporations snap up entire projects making it difficult for people to save and be able to afford properties throughout Dublin.
This, however, may only continue as restrictions remain light on the actions of these corporations.