The limited development of purpose-built student accommodation (PBSA) in recent years has led to a deficit of at least 38,900 bed spaces in Dublin, Cork, Limerick and Galway, according to research by Sherry FitzGerald.
At the end of 2025, the number of PBSA bed spaces in the State totalled 47,600. The number of full-time students in HEA-registered third-level institutes for the 2024/2025 academic year stood at 215,585.
The research estimates Dublin faces the most acute pressure, with a student-to-bed-space ratio of 2.7 based on the assumption all students originating outside of Dublin require accommodation. If the assumed commutable distance is extended to include counties Kildare, Meath and Wicklow, this ratio falls to 2.0.
Student-to-bed ratios for the South-West, Mid-West and West regions, which incorporate Cork, Limerick and Galway, ranged from 1.3 to 2.5 at the end of 2025.
Jean Behan, senior economist and head of research at Sherry FitzGerald said elevated construction and borrowing costs in recent years had impacted the viability of PBSA developments, coupled with uncertainty and reduced development activity at a time when student numbers were growing.
“This created a growing divergence between the demand for and supply of PBSA accommodation and placed additional pressures on the private rental market,” he said.
The development pipeline suggests these shortages are set to persist in the medium term, with about 2,600 student beds under construction across the State at the end of the year.
While planning permission has been granted for about 13,800 beds, a significant proportion, 35%, are in developments that have been put on hold.
Using CSO population forecasts, Sherry FitzGerald Research estimates demand for additional bed spaces in the Dublin, South-West, Mid-West and West regions could increase further by between 9,900 and 11,700 by 2030.
The forthcoming National Student Accommodation Strategy is expected to help address shortages in the market and support the delivery of additional bed spaces.
In addition, various measures being implemented by the Government to tackle shortages in the private residential market should also help increase activity in the PBSA market, the estate agents said. This includes the reduced 9% VAT rate on new developments announced in Budget 2026.
“Measures aimed at improving the viability of developments are welcomed. However, it will also be necessary to ensure that the conditions necessary to attract private capital to the market are also in place if the divergence between demand and supply is to be reduced,” Mr Behan said.
