Irish Residential Properties Reit Plc · EURONEXT:IRES

Irish Residential Properties Reit — FY2018 Earnings Presentation

49 slides from Irish Residential Properties Reit's earnings presentation, February 2019

  1. Slide 1: Building Communities Creating Value – Preliminary Results 31 December 2018

    BUILDING COMMUNITIES CREATING VALUE Preliminary Results 31 December 2018 Irish Residential Properties REIT plc February 2019

  2. Slide 2: Disclaimer: 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

  3. Slide 3: Overview

    Irish Residential Properties REIT plc Overview 2018 Highlights Financial Results Investment Case Market Backdrop Operational Structure Scaled Asset Base Growth Opportunities Growing Dividends Strong Governance High Quality Portfolio 3

  4. Slide 4: 2018 Highlights – Strong Operating Performance

    2018 Highlights –Strong Operating Performance Irish Residential Properties REIT plc Revenue from Occupancy Net Rental Income Average Monthly Rent Investment Properties % (€ millions) (€) (€ millions) +5.4% 55 100.0 47.0 1,600 +13.2% +13.5% 1,599 50 99.8 99.8 42.0 1,550 50.6 98.7 45 95.0 37.0 41.2 40

  5. Slide 5: 2018 Highlights – Growing Values & Returns for Shareholders

    Irish Residential Properties REIT plc 2018 Highlights – Growing Values & Returns for Shareholders EPRA NAV EPRA Earnings per Share Dividends per Share Portfolio Valuation (€ millions) (€ cents) (€ cents) (€ millions) +8.3% +7.7% +22.7% 7.0 6 1000 700 +22.9% 600 6.0 6.5 5 5.6 921.3 6.0 5.2 800 619.6

  6. Slide 6: 2018 Financial Results

    2018 FINANCIAL RESULTS Grande Central – Sandyford, Dublin 18 6

  7. Slide 7: Strong Operating Performance

    Strong Operating Performance 31 31 % Increase/ For the Year Ended December December Decrease 2018 2017 Revenue from Investment 50,608 44,693 13.2% Properties(€,000) Net Rental Income (€,000) 41,158 36,271 13.5% Profit (€,000) 119,785 65,079 84.0% Basic Earnings Per Share (cents) 28.0 15.6 79.5% EPRA

  8. Slide 8: Strong Financial Position

    Irish Residential Properties REIT plc Strong Financial Position 31 December 31 December As At 2018 2017 Total Property Value € 921.3m € 750.9m Net Assets € 618.7m €504.0m EPRA Net Assets € 619.6m €504.2m Basic NAV per share (cents per share) 142.5 120.8 EPRA NAV per share (cents per share) 142.0 118

  9. Slide 9: Investment Properties Portfolio Valuation as at 31 December 2018

    Irish Residential Properties REIT plc Investment Properties Portfolio Valuation as at 31 December 2018 Value (€ millions) as at Property Location Location Age # apartments owned % Change from 2017 31-Dec-18 30-Jun-18 31-Dec-17 City Centre 1 Kings Court Smithfield 12.5 83 € 23.7 € 21.8 € 21.3 11.3% 2

  10. Slide 10: Net Asset Value Growth

    Irish Residential Properties REIT plc Net Asset Value Growth EPRA NAV growth through accretive acquisitions and NRI growth, while maintaining LTV% EPRA NAV Total Group Gearing 650 619.6 50% 600 160 40% Cents per share 142.0 550 504.2 € millions 140 30% 500 469.6 33.0% 33.6% 435 20% 31.3% 118.5 450 1

  11. Slide 11: Compelling Investment Case

    Compelling Investment Case Irish Residential Properties REIT plc 1 2 3 4 5 Attractive Market Strong Operational Attractive & Scaled Organic & Inorganic Strong Financial Backdrop Structure Performing Asset Growth Performance (Local & Global) Base Opportunities Strong economic Local management 12.6% i

  12. Slide 12: Market Update

    Market Update 12

  13. Slide 13: Market Update

    Market Update Irish Residential Properties REIT plc DemandOutweighs Economic Population Supply Growth Growth • Growing apartment sector • Ireland remains among the • Young and steadily growing • Housing supply shortage – 2018 fastest-growing economies in population of Irish-born and Ireland dwelling

  14. Slide 14: Economic Growth

    Economic Growth Irish Residential Properties REIT plc Drivers of Population Change '000 150 5,000 4,500 100 4,000 50 Irish GDP Growth 3,500 30.0% 0 3,000 25.1% 25.0% -50 2,500 0 0 0 0 20.0% Natural increase Net migration Population 15.0% 10.0% 8.8% 7.2% 7.5% 5.0% 4.4% Total Employment 5.0% 1.3% 2,50

  15. Slide 15: Strong Operating and Investment Management Model

    Strong Operating and Investment Management Model Irish Residential Properties REIT plc Technology andSystems Attract and retain high-quality clients Build a growing Generate portfolio of high- stable and Resident quality residential growing Staff Training Communications assets in desirable dividends

  16. Slide 16: Investment Management

    Investment Management Irish Residential Properties REIT plc Investment Management Arrangements Summary I-RES Fund Management, an Irish subsidiary of • IRES Fund Management Limited (“IRES Fund”), an indirect wholly owned CAPREIT, is the company’s investment manager. subsidiary of CAPREIT, became auth

  17. Slide 17: Strategies For Growth

    Irish Residential Properties REIT plc Strategies For Growth Acquisition of Completed Development Development of Existing Assets Partnerships I-RES Properties • Continued evaluation of new acquisition Forward purchase agreements with • Opportunity to add approximately opportunities in attractive urba

  18. Slide 18: Acquisitions and Development Partnerships 2018

    Irish Residential Properties REIT plc Acquisitions and Development Partnerships 2018 Hansfield Wood , Dublin 15 I-RES made its first acquisition in partnership with a local builder at Hansfield Wood, Dublin 15. • Development of 99 residential units for total consideration of €30 million (including V

  19. Slide 19: Acquisitions and Development Partnerships 2018

    Irish Residential Properties REIT plc Acquisitions and Development Partnerships 2018 HamptonWood, Dublin 11 • Acquisition completed on 21 May 2018, fully leased up by July 2018 • A new block of 128 apartments, with 128 car parking spaces • Based on passing rents as at 31 December 2018, gross yield i

  20. Slide 20: Development of Existing I-RES Properties

    Development of Existing I-RES Properties Irish Residential Properties REIT plc I-RES Development Sites # Units at Name Status Completion • Submitted planning applications for Tallaght Cross West 18 Planning permission granted 628(1)apartments at currently-owned I-RES properties, of which planning pe

  21. Slide 21: Strong Governance

    IRISH RESIDENTIAL PROPERTIES REIT plc Strong Governance Board of Directors Declan Moylan Margaret Sweeney Mark Kenney Aidan O’Hogan Independent Non- I-RES CEO & Executive Non- Independent and Non-Executive Independent Non-Executive Executive Chairman Director Director, (Investment Manager and Senior

  22. Slide 22: Positive Outlook

    Irish Residential Properties REIT plc Positive Outlook Sustainable Growing Asset Values, Earnings & Dividends Strong Growth Pipeline and Opportunities Strong Real Estate Fundamentals • Opportunity to increase portfolio units by c. 30% from • Growing Irish Economy current owned sites (subject to succ

  23. Slide 23: Portfolio Details

    IRISH RESIDENTIAL PROPERTIES REIT plc Portfolio Details 23

  24. Slide 24: High Quality Portfolio

    Irish Residential Properties REIT plc HighQuality Portfolio Value as at Commercial space owned Average mthly rent per Property Year Built # apartments owned(1) Occupancy (1) (2) Location 31 December 2018(1) (sqm)(1) apt.(1) (2) City Centre 1 Kings Court Smithfield 2006 83 € 23.7m 566 € 1,464 100.00%

  25. Slide 25: Superior Dublin Locations

    Superior Dublin Locations 15 20 DUBLIN CITY CENTRE SECONDARY SUBURBS 01 KINGS COURT 13 PRIORSGATE Sandyford D7 (83 Units) Tallaght D24 (103 Units) 19 02 THE MARKER 18 14 THE LAURELS Docklands D2 (84 Units) Tallaght D24 (19 units) 03 BAKERS YARD 15 CHARLESTOWN Portland Street North D1 (85 Units) Fing

  26. Slide 26: Appendix 1 Portfolio Details

    IRISH RESIDENTIAL PROPERTIES REIT plc Appendix 1 Portfolio Details 26

  27. Slide 27: Kings Court

    North King Street, Smithfield, Dublin 7 Kings Court Property Details(1) Building Features:  Basement car park Year Built: 2006  Fully furnished with modern finishes # of apartments owned: 83  Balconies and communal garden with secure access through Total # of apartments: 83 electronic gates  Int

  28. Slide 28: The Marker

    Grand Canal Square, Docklands, Dublin, Dublin 2 The Marker Property Details(1) Building Features:  State-of-the-art kitchens with Year Built: 2012 integrated appliances and worktops  Stylish ensuite bathrooms with floor # of apartments owned: 85 to ceiling marble walls and Total # of apartments: 1

  29. Slide 29: Bakers Yard

    N o r t h Po r t l a n d S t r e e t , D u b l i n , D u b l i n 1 Bakers Yard Property Details(1) Building Features:  Private landscaped courtyards Year Built: 2007/2008  Fully fitted kitchen, living room and bedrooms in all apartments # of apartments owned: 86  High quality ceramic wall and flo

  30. Slide 30: City Square

    City Square, Gloucester Street, Dublin 2 City Square Property Details(1) Building Features:  Modern development with 6 secure Year Built: 2006 underground car parking  Ground floor office suite is let to # of apartments owned: 23 tenant on 2-year FRI lease Total # of apartments: 27 Valuation as at

  31. Slide 31: Beacon South Quarter

    B e a c o n S o u t h Q u a r t e r, S a n d y f o r d , D u b l i n 1 8 Beacon South Quarter Property Details(1) Building Features:  Dedicated residential concierge Year Built: 2007/2008 reception and underground car parking spaces # of apartments owned: 225  High specification kitchens with Tota

  32. Slide 32: Grande Central

    Ro c k b r o o k , S a n d y f o r d , D u b l i n 1 8 Grande Central Property Details(1) Building Features:  Central heating and internet Year Built: 2007  Modern furniture and finishes with dishwashers, dryers and washers # of apartments owned: 65  Large balconies and basement Total # of apartm

  33. Slide 33: Rockbrook Grande Central

    Ro c k b r o o k , S a n d y f o r d , D u b l i n 1 8 Rockbrook Grande Central Property Details(1) Building Features:  Central heating and internet Year Built: 2007  Modern furniture and finishes with dishwashers, dryers and washers # of apartments owned: 81  Large balconies and basement Total #

  34. Slide 34: Rockbrook South Central

    Ro c k b r o o k , S a n d y f o r d , D u b l i n 1 8 Rockbrook South Central Property Details(1) Building Features:  Central heating and internet Year Built: 2007  Modern furniture and finishes with dishwashers, dryers and washers # of apartments owned: 189  Large balconies and basement Total #

  35. Slide 35: The Forum

    Forum, Sandyford, Dublin 18 The Forum Property Details(1) Building Features:  Modern residential development Year Built: 2007 with 11 secure underground car parking # of apartments owned: 8  Video-com secure entrance system Total # of apartments: 127 to lobbies  Balconies with decking from Valuat

  36. Slide 36: The Maple

    B e a c o n S o u t h Q u a r t e r, S a n d y f o r d , D u b l i n 1 8 The Maple Property Details(1) Building Features:  Fully fitted integrated appliances Year Built: 2017 and state-of-the-art kitchens # of apartments owned: 68  Dedicated residential concierge reception Total # of apartments: 6

  37. Slide 37: Elmpark Green

    E l m p a r k , M e r r i o n Ro a d , D u b l i n 4 Elmpark Green Property Details(1) Building Features:  Solid oak entrance doors and full Year Built: 2006 height oak finished internal doors  Under floor heating throughout with # of apartments owned: 201 individual thermostat Total # of apartmen

  38. Slide 38: Bessboro

    B e s s b o r o , Te r e n u r e , D u b l i n 6 Bessboro Property Details(1) Building Features:  64 underground car parking Year Built: 2008  Gas fired central heating system and pressurised water system # of apartments owned: 40  All apartments are fully furnished Total # of apartments: 40 and

  39. Slide 39: Priorsgate

    G r e e n h i l l s Ro a d , Ta l l a g h t , D u b l i n 2 4 Priorsgate Property Details(1) Building Features:  Courtyard garden Year Built: 2007  Spar and Unicare Pharmacy on site # of apartments owned: 103  Fully furnished bright and spacious accommodation with balconies Total # of apartments:

  40. Slide 40: The Laurels

    M a i n S t r e e t , Ta l l a g h t , D u b l i n 2 4 The Laurels Property Details(1) Building Features:  Underground parking Year Built: 2007  Central heating # of apartments owned: 19  Fully furnished  Terraces or balconies in all Total # of apartments: 19 apartments Valuation as at 31 Dec: €

  41. Slide 41: Charlestown

    Charlestown Place, Finglas, Dublin 11 Charlestown Property Details(1) Building Features:  CCTV security system with intercom Year Built: 2007 system  Fully tiled bathrooms with # of apartments owned: 235 contemporary sanitary ware Total # of apartments: 285  Cherry wood finished floors in kitchen

  42. Slide 42: Tallaght Cross West

    Ta l l a g h t C r o s s We s t , Ta l l a g h t , D u b l i n 2 4 Tallaght Cross West Property Details(1) Building Features:  Bright and spacious accommodation Year Built: 2008 with fully fitted kitchens and bathrooms # of apartments owned: 442  Secure underground parking Total # of apartments: 5

  43. Slide 43: Coldcut Park

    C o l d c u t Ro a d , C l o n d a l k i n , D u b l i n 22 Coldcut Park Property Details(1) Building Features:  High energy efficiency gas fired Year Built: 2012 central heating  Painted timber framed double # of apartments owned: 90 glazed windows and doors Total # of apartments: 94  Stylish fu

  44. Slide 44: Camac Crescent

    Tu r v e y Av e n u e , I n c h i c o r e , D u b l i n 8 Camac Crescent Property Details(1) Building Features:  Laminate wood flooring Year Built: 2008  High gloss kitchens with washer/dryers and microwaves # of apartments owned: 90  Large balconies and courtyard Total # of apartments: 110 garde

  45. Slide 45: Lansdowne Gate

    Lansdowne Gate, Drimnagh, Dublin 12 Lansdowne Gate Property Details(1) Building Features:  Spacious landscaped courtyard Year Built: 2005 including: playground, a number of cascading water features, seating # of apartments owned: 224 areas, landscaped river garden and Total # of apartments: 280 fea

  46. Slide 46: Tyrone Court

    Ty r o n e C o u r t , I n c h i c o r e , D u b l i n 8 Tyrone Court Property Details(1) Building Features:  Underground car parking Year Built: 2014  Each apartment has its own private balcony # of apartments owned: 95  Attractive fully tiled bathrooms Total # of apartments: 131  Stylish kitch

  47. Slide 47: Hansfield Wood

    H a n s f i e l d Wo o d , O n g a r, D u b l i n 1 5 Hansfield Wood Property Details(1) Building Features: Year Built: 2018  Attractive modern design with high ceilings and large windows # of residential units owned: 99  Bright and spacious kitchens Total # of residential units: 99  High pressur

  48. Slide 48: Hampton Wood

    H a m p t o n Wo o d s , F i n g l a s , D u b l i n 1 1 Hampton Wood Property Details(1) Building Features: Year Built: 2018  Quality kitchen with quartz counter tops and timber flooring tiles # of apartments owned: 128  Maximized storage with extensive Total # of apartments: 128 wall units  Lar

  49. Slide 49: Hansfield Wood Phase II

    H a n s f i e l d Wo o d , O n g a r, D u b l i n 1 5 Hansfield Wood Phase II Property Details(1) Building Features: Year Built: Under construction  Attractive modern design with high ceilings and large windows # of residential units owned: 95  Bright and spacious kitchens Total # of residential u

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