Irish Residential Properties Reit Plc · EURONEXT:IRES
Irish Residential Properties Reit — Shareholder Meeting (May 2017)
38 slides from Irish Residential Properties Reit's shareholder meeting presentation, May 30, 2017
Slide 1: 2017 Annual Shareholders' Meeting
IRISH RESIDENTIAL PROPERTIES REIT plc 2017 Annual Shareholders’ Meeting 3 0 M AY 2 0 1 7
Slide 2: Cautionary Statements
DISCLAIMER Cautionary Statements This presentation has been prepared by Irish Residential Properties REIT PLC (the “Company” or “I•RES”) for information purposes only. This presentation has been prepared in good faith but the information contained in it has not been independently verified and does n
Slide 3: Agenda
INTRODUCTION Agenda Profile Highlights Reasons to invest in I•RES Performance Review Outlook Resolutions 3
Slide 4: Profile
INTRODUCTION Profile I•RES became a REIT and completed an initial offering of €200 million in April 2014, followed by an offering of €215 million completed in March 2015 Mission Management Provide shareholders with sustainable, Professionally managed by CAPREIT’s long-term and growing dividends. Iri
Slide 5: Highlights
IRISH RESIDENTIAL PROPERTIES REIT plc Highlights Active period with Strong operating strategic high quality results supported by strong acquisitions and development market fundamentals Delivering shareholder • Since initial offering, acquired 2,039 apartments, including 763 in 2016 • Strong occupanc
Slide 6: Reasons to Invest in I•RES
IRISH RESIDENTIAL PROPERTIES REIT plc Reasons to Invest in I • RES Sustainable Strong Growing Real Estate Yields Fundamentals Innovative and Accretive Hands on Acquisitions Business Model and Developments 6
Slide 7: Innovative and Hands on Business Model
REASONS TO INVEST IN I RES Innovative and Hands on Business Model 7
Slide 8: Proven Investment Manager
REASONS TO INVEST IN I RES Proven Investment Manager I•RES Fund Management, an Irish subsidiary of CAPREIT, is the S&P/TSX Index & CAPREIT total return company’s investment manager. ABOUT CAPREIT 1500% CAPREIT Founded in 1997, one of first Canadian REITs 1,297% High returns in rent controlled envi
Slide 9: Sustainable Growing Yields
REASONS TO INVEST IN I RES Sustainable Growing Yields Residential sector with high quality assets give long-term, sustainable and steady returns Sustained rental growth being achieved in the Dublin residential lettings market + Strong development pipeline for I RES = Growing dividends for I RES
Slide 10: Highly Accretive Acquisitions
REASONS TO INVEST IN I RES Highly Accretive Acquisitions Modern property portfolio with weighted average of 8.8 years Excellent locations in Dublin Superior Neighbourhood Features Amazing Amenities Convenient transportation, In close proximity to many retail Playgrounds and beautiful with most pro
Slide 11: Accretive Planned Development
REASONS TO INVEST IN I RES Accretive Planned Development Opportunity to add approximately 600(1) apartments at currently-owned I RES properties New apartments can be built at lower cost than market - Significant infrastructure already built (parking, etc.) Submitted an appeal in respect of the p
Slide 12: First Intensification Development
REASONS TO INVEST IN I RES First Intensification Development 68 apartments at block B2B (Beacon South Quarter), Sandyford Dublin 18 • Direct access via tram to Dublin City Centre in 20 minutes • Home to high profile employers General contractor on a fixed price basis Expected Gross Yield in the ra
Slide 13: Strong Real Estate Fundamentals
REASONS TO INVEST IN I RES Strong Real Estate Fundamentals Growing Significant Favourable Strong Rental Irish Supply/Demand Interest Rate Growth Economy Imbalance Environment Opportunities Upward pressure is being Brexit uncertainty may • New legislation with 4% applied on employee affect the Iris
Slide 14: Supply and Demand Imbalance
REASONS TO INVEST IN I RES Supply and Demand Imbalance Significant supply / demand imbalance Increasing apartment sector • Encouraged by government policy Dublin • Central bank mortgage limits • Immigrants natural apartment dwellers • Strong foreign direct investment base for Housing required empl
Slide 15: Performance Review
G R A N D C E N T R A L – S A N DY F O R D, D U B L I N 1 8 Performance Review 15
Slide 16: Portfolio Performance
PERFORMANCE REVIEW Portfolio Performance As at 31 Dec 2016 31 Dec 2015 Occupancy 98.7% 96.0% Average Monthly Rent(1) €1,427 €1,372 Gross Yield 6.6% 6.2% NRI Margin(2) 78.8% 80.8% (1) Average monthly rent for stabilised residential properties owned by the Company as of 31 December 2015 up 8.6% as at
Slide 17: Strong Operating Performance
PERFORMANCE REVIEW Strong Operating Performance Year Ended 31 Dec 2016 31 Dec 2015 Gross Rental Income (€,000) 38,754 24,721 Net Rental Income (€,000) 30,555 19,968 Basic Earnings Per Share (cents) 11.3 8.4 EPRA Earnings Per Share (cents) 4.9 3.3 Weighted Average Number of Shares 417,135,631 367,520
Slide 18: Strong Financial Position
PERFORMANCE REVIEW Strong Financial Position As At 31 Dec 2016 31 Dec 2015 Net Assets & EPRA Net Assets €469.6M €435.0M Basic & EPRA NAV per share (cents per share) (1) 112.5 104.3 Group Total Gearing 31.3% 8.8% As At 31 Dec 2016 Acquisition / Development Capacity (2) c. €150.0M (1) Dividends paid i
Slide 19: Outlook
Outlook Growth Strategies • Strong Acquisitions • Strong Developments Growing Stable Dividends 19 GRAND CENTRAL – SANDYFORD, DUBLIN 18
Slide 20: Strong Acquisition and Development Pipeline
O U T LO OK Strong Acquisition and Development Pipeline Development Off-Market Transactions 600(1) apartments and other opportunities (including conversions to rental) / in place D O Private off-market opportunities infrastructure (garages) N P NAMA Private Equity Investors Some remaining Private eq
Slide 21: Strong, Steady & Sustainable Growing Dividends
O U T LO OK Strong, Steady & Sustainable Growing Dividends 20.4M paid in 13.1M paid in 2016 2017 for the 2016 for the 2015 accounting period accounting period 1.8M paid in 2015 Focused on creating for the 2014 shareholder value accounting period 21
Slide 22: Proxy Votes held
Resolution 1 To receive and consider the Financial Statements for the year ended 31 December 2016 and reports of the Directors and Auditor thereon Proxy Votes held % For 256,362,558 100.00 Against 0 0.00 Vote withheld 2,817,381 - 22
Slide 23: Proxy Votes held
Resolution 2(a) To elect Joan Garahy as a Director Proxy Votes held % For 255,323,023 99.59 Against 1,039,535 0.41 Vote withheld 2,817,381 - 23
Slide 24: Proxy Votes held
Resolution 2(b) To re-elect David Ehrlich as a Director Proxy Votes held % For 254,930,071 99.44 Against 1,432,487 0.56 Vote withheld 2,817,381 - 24
Slide 25: Proxy Votes held
Resolution 2(c) To re-elect Declan Moylan as a Director Proxy Votes held % For 255,323,023 99.59 Against 1,039,535 0.41 Vote withheld 2,817,381 - 25
Slide 26: Proxy Votes held
Resolution 2(d) To re-elect Aidan O’Hogan as a Director Proxy Votes held % For 255,323,023 99.59 Against 1,039,535 0.41 Vote withheld 2,817,381 - 26
Slide 27: Proxy Votes held
Resolution 2(e) To re-elect Thomas Schwartz as a Director Proxy Votes held % For 248,577,897 99.48 Against 1,284,661 0.51 Vote withheld 9,317,381 - 27
Slide 28: Proxy Votes held
Resolution 2(f) To re-elect Phillip Burns as a Director Proxy Votes held % For 248,130,856 99.30 Against 1,731,702 0.69 Vote withheld 9,317,381 - 28
Slide 29: Proxy Votes held
Resolution 2(g) To re-elect Margaret Sweeney as a Director Proxy Votes held % For 255,323,023 99.59 Against 1,039,535 0.41 Vote withheld 2,817,381 - 29
Slide 30: Proxy Votes held
Resolution 3 Authority to fix the remuneration of the Auditors in respect of the period expiring at the next Annual General Meeting of the Company Proxy Votes held % For 255,002,745 99.47 Against 1,359,813 0.53 Vote withheld 2,817,381 - 30
Slide 31: Proxy Votes held
Resolution 4 Authority to call a general meeting on 14 clear days’ notice Proxy Votes held % For 234,430,701 91.44 Against 21,931,857 8.55 Vote withheld 2,817,381 - 31
Slide 32: Proxy Votes held
Resolution 5 To authorise the maximum amount of the aggregate ordinary remuneration of the Non-Executive Directors Proxy Votes held % For 256,342,058 99.99 Against 20,500 0.01 Vote withheld 2,817,381 - 32
Slide 33: Proxy Votes held
Resolution 6 Authority to allot relevant securities Proxy Votes held % For 219,934,464 85.79 Against 36,428,094 14.21 Vote withheld 2,817,381 - 33
Slide 34: Proxy Votes held
Resolution 7 (a) Authority to disapply pre-emption rights with respect to equity securities Proxy Votes held % For 235,016,153 91.67 Against 21,346,405 8.33 Vote withheld 2,817,381 - 34
Slide 35: Proxy Votes held
Resolution 7 (b) Additional authority to disapply pre-emption rights for an acquisition or other specified capital investment Proxy Votes held % For 235,016,153 91.67 Against 21,346,405 8.33 Vote withheld 2,817,381 - 35
Slide 36: Proxy Votes held
Resolution 8 Authority to make market purchases of the Company’s own shares Proxy Votes held % For 256,318,408 99.98 Against 44,150 0.02 Vote withheld 2,817,381 - 36
Slide 37: Proxy Votes held
Resolution 9 Authority to re-issue treasury shares Proxy Votes held % For 228,450,940 89.11 Against 27,911,618 10.89 Vote withheld 2,817,381 - 37
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Irish Residential Properties REIT — Shareholder Meeting (May 2017) on 6ix