Irish Residential Properties Reit Plc · EURONEXT:IRES
Irish Residential Properties Reit — Investor Presentation (November 2017)
51 slides from Irish Residential Properties Reit's investor presentation, November 2017
Slide 1: Investor Presentation
IRISH RESIDENTIAL PROPERTIES REIT plc INVESTOR PRESENTATION November 2017
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 Positive Outlook Appendix 1 Appendix 2 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 Completion of accretive Strong operating development results supported by strong market fundamentals Delivering • Completed construction of 68 • Strong occupancies shareholder apartments at Beacon South Quarter in July 2017 (now known as “The value th
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 Accretive Innovative and Developments Hands on and Business Model Selective Acquisitions 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 IRES Fund Management, an Irish subsidiary of CAPREIT, is the S&P/TSX Index & CAPREIT total return company’s investment manager. ABOUT CAPREIT 1500% Founded in 1997, one of first Canadian REITs 1300% 1299% High returns in rent controlled environm
Slide 9: Sustainable Growing Dividends
REASONS TO INVEST IN I RES Sustainable Growing Dividends 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 R
Slide 10: Current Portfolio
REASONS TO INVEST IN I RES Current Portfolio Modern property portfolio with weighted average age of 9.3 years(1) Excellent locations in Dublin Superior Neighbourhood Features Amazing Amenities Convenient transportation, In close proximity to many retail Playgrounds and beautiful with most properti
Slide 11: Accretive Planned Development
REASONS TO INVEST IN I RES Accretive Planned Development Opportunity to add approximately 530(1) apartments at currently-owned I RES properties New apartments can be built at lower cost than market - Significant infrastructure already built (parking, etc.) Infill and conversion opportunities on
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 completed on 12 July 2017 • Direct access via tram to Dublin City Centre in 20 minutes • Home to high profile employers • Cost of completed of c. €19.6 million • Fair
Slide 13: Hansfield Wood Transaction
REASONS TO INVEST IN I RES Hansfield Wood Transaction 99 residential units at Hansfield Wood, Ongar Road, Dublin 15 The Hansfield transaction is the first step towards Home to •achieving onehigh of profile our new employers strategies,such as EBay, which is to look at Paypal, areas Xerox, outside
Slide 14: Hansfield Wood Transaction
REASONS TO INVEST IN I RES Hansfield Wood Transaction The Hansfield Wood transaction represents the first step in the new strategy to develop the asset base through partnerships with local residential developers to deliver homes at accretive yields. Hansfield Wood reflects this new growth strategy
Slide 15: Strong Real Estate Fundamentals
REASONS TO INVEST IN I RES Strong Real Estate Fundamentals Significant Growing Strong Rental Favourable Supply/Demand Irish Growth Interest Rate Imbalance Economy Opportunities Environment • Not likely to be fixed • Upward pressure is • New legislation with 4% for many years being applied on (comp
Slide 16: Strengthening Irish Economy
REASONS TO INVEST IN I RES Strengthening Irish Economy Strong 2017 GNP growth and forecast for 2018 and 2019 9.0% 10.0% 9.0% 6.9% 8.0% 5.7% 7.0% 6.0% 5.0% 3.3% 3.3% 3.3% 2.8% 4.0% 3.0% 2.0% 1.0% 0.0% 2017F 2018F 2012 2013 2014 2015 2016 Source: Central Statistics Office, Central Bank of Ireland Un
Slide 17: Population Growth
REASONS TO INVEST IN I RES Population Growth Growing Irish population Population growth is supportive by the highest birth rate in Europe 4,800 200 4,750 150 Population (in thousands) Change in Population (in 4,700 100 42.4 51.7 52.9 thousands) 4,650 50 20.1 18.8 21 30.7 0 4,600 -50 4,550 -100 4,5
Slide 18: 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 • Brexit positive effect for rentals Housing required • Strong fo
Slide 19: 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 19
Slide 20: Strong Operating Performance
PERFORMANCE REVIEW Strong Operating Performance Period Ended (6 Months) 30 June 2017 30 June 2016 Revenue from Investment Properties(€,000) 21,666 17,890 Net Rental Income (€,000) 17,134 14,030 Profit (€,000) 31,024 24,700 Basic Earnings Per Share (cents) 7.4 5.9 EPRA Earnings Per Share (cents) 2.8
Slide 21: Portfolio Performance
PERFORMANCE REVIEW Portfolio Performance As at 30 June 2017 30 June 2016 Occupancy 98.8% 98.3% Average Monthly Rent(1) €1,459 €1,399 Gross Yield 6.6% 6.5% Number of Apartments Acquired in the Period - 674 Total Number of Apartments 2,381 2,288 (1) Average monthly rent for stabilised residential prop
Slide 22: Strong Financial Position
PERFORMANCE REVIEW Strong Financial Position As At 30 June 2017 31 Dec 2016 Net Assets €480.3M €469.6M EPRA Net Assets €480.4M €469.6M Basic & EPRA NAV per share (cents per share) (1) 115.1 112.5 Group Total Gearing 32.1% 31.3% As At 30 June 2017 Acquisition / Development Capacity (2) c. €140.0M (1)
Slide 23: Positive Outlook
Positive Outlook Intensification and Accretive Developments Strong Real Estate Fundamentals • Growing Irish Economy • Significant Supply and Demand Imbalance Sustainable Growing Dividends 23 GRAND CENTRAL – SANDYFORD, DUBLIN 18
Slide 24: Appendix
IRISH RESIDENTIAL PROPERTIES REIT plc INVESTOR PRESENTATION APPENDIX 1 24
Slide 25: Property Locations
IRISH RESIDENTIAL PROPERTIES REIT plc Property Locations # of Property Residential Units(1) 1 Bakers Yard 85 2 Beacon South Quarter 225 3 Bessboro 40 5 4 Camac Crescent 90 5 Charlestown 235 6 City Square 23 7 Coldcut Park 90 8 Elmpark Green 201 1 9 Grande Central 65 10 Kings Court 83 21 7 20 10 6 19
Slide 26: High Quality Portfolio
IRISH RESIDENTIAL PROPERTIES REIT plc High Quality Portfolio Commercial # apartments Total # of Value as at 30 space owned Average mthly Property Location Location Year Built Date Acquired owned(1) apartments(1) (7) June 2017(1) (sqm)(1) rent per apt.(1) (2) (3) Occupancy (1) (2) 1 Kings Court Smith
Slide 27: Bakers Yard
North Portland Street, Dublin, Dublin 1 Bakers Yard Property Details(1) Year Built: 2007/2008 # of apartments owned: 85 Total # of apartments: 132 Valuation as at 30 June: €21.6m Passing rent as at 30 June: €1.5m (annualised) AMR per apartment as at 30 June: €1,393 Occupancy as at 30 June: 100.0% Co
Slide 28: 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) Year Built: 2007/2008 # of apartments owned: 225 Total # of apartments: 850 Valuation as at 30 June: €84.0m Passing rent as at 30 June: €5.4m (annualised) AMR per apartment as at 30 June
Slide 29: 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) Year Built: 2008 # of apartments owned: 40 Total # of apartments: 40 Valuation as at 30 June: €12.6m Passing rent as at 30 June: €0.7m (annualised) AMR per apartment as at 30 June: €1,522 Occupancy as at 30 June: 95.0% Com
Slide 30: Camac Crescent
Tu r vey Ave n u e , I n c h i c o r e , D u b l i n 8 Camac Crescent Property Details(1) Year Built: 2008 # of apartments owned: 90 Total # of apartments: 110 Valuation as at 30 June: €19.9m Passing rent as at 30 June: €1.4m (annualised) AMR per apartment as at 30 June: €1,293 Occupancy as at 30 Ju
Slide 31: Charlestown
Charlestown Place, Finglas, Dublin 11 Charlestown Property Details(1) Year Built: 2007 # of apartments owned: 235 Total # of apartments: 285 Valuation as at 30 June: €58.8m Passing rent as at 30 June: €3.7m (annualised) AMR per apartment as at 30 June: €1,311 Occupancy as at 30 June: 100.0% Commerci
Slide 32: City Square
City Square, Gloucester Street, Dublin 2 City Square Property Details(1) Year Built: 2006 # of apartments owned: 23 Total # of apartments: 27 Valuation as at 30 June: €6.0m Passing rent as at 30 June: €0.4m (annualised) AMR per apartment as at 30 June: €1,573 Occupancy as at 30 June: 100.0% Commerci
Slide 33: Coldcut Park
Coldcut Road, Clondalkin, Dublin 22 Coldcut Park Property Details(1) Year Built: 2012 # of apartments owned: 89 Total # of apartments: 93 Valuation as at 30 June: €19.8m Passing rent as at 30 June: €1.5m (annualised) AMR per apartment as at 30 June: €1,378 Occupancy as at 30 June: 100.0% Commercial
Slide 34: Elmpark Green
Elmpark, Merrion Road, Dublin 4 Elmpark Green Property Details(1) Year Built: 2006 # of apartments owned: 201 Total # of apartments: 332 Valuation as at 30 June: €61.3m Passing rent as at 30 June: €3.6m (annualised) AMR per apartment as at 30 June: €1,500 Occupancy as at 30 June: 99.5% Commercial Ar
Slide 35: Grande Central
Rockbrook, Sandyford , Dublin 18 Grande Central Property Details(1) Year Built: 2007 # of apartments owned: 65 Total # of apartments: 195 Valuation as at 30 June: €21.9m Passing rent as at 30 June: €1.3m (annualised) AMR per apartment as at 30 June: €1,608 Occupancy as at 30 June: 98.5% Commercial A
Slide 36: Kings Court
North King Street, Smithfield, Dublin 7 Kings Court Property Details(1) Year Built: 2006 # of apartments owned: 83 Total # of apartments: 83 Valuation as at 30 June: €20.2m Passing rent as at 30 June: € 1.4m (annualised) AMR per apartment as at 30 June: €1,359 Occupancy as at 30 June: 98.8% Commerci
Slide 37: Lansdowne Gate
Lansdowne Gate, Drimnagh, Dublin 12 Lansdowne Gate Property Details(1) Year Built: 2005 # of apartments owned: 224 Total # of apartments: 280 Valuation as at 30 June: €64.9m Passing rent as at 30 June: €4.1m (annualised) AMR per apartment as at 30 June: €1,528 Occupancy as at 30 June: 99.6% Commerci
Slide 38: Priorsgate
G r e e n h i l l s R o a d , Ta l l a g h t , D u b l i n 2 4 Priorsgate Property Details(1) Year Built: 2007 # of apartments owned: 103 Total # of apartments: 199 Valuation as at 30 June: €20.2m Passing rent as at 30 June: €1.5m (annualised) AMR per apartment as at 30 June: €1,111 Occupancy as at
Slide 39: Rockbrook Grande Central
Rockbrook, Sandyford, Dublin 18 Rockbrook Grande Central Property Details(1) Year Built: 2007 # of apartments owned: 81 Total # of apartments: 195 Valuation as at 30 June: €29.0m Passing rent as at 30 June: €1.8m (annualised) AMR per apartment as at 30 June: €1,570 Occupancy as at 30 June: 100.0% Co
Slide 40: Rockbrook South Central
Rockbrook, Sandyford, Dublin 18 Rockbrook South Central Property Details(1) Year Built: 2007 # of apartments owned: 189 Total # of apartments: 224 Valuation as at 30 June: €73.1m Passing rent as at 30 June: €3.6m (annualised) AMR per apartment as at 30 June: €1,582 Occupancy as at 30 June: 99.5% Com
Slide 41: 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) Year Built: 2008 # of apartments owned: 442 Total # of apartments: 507 Valuation as at 30 June: €86.4m Passing rent as at 30 June: €7.1m (annualised) AMR per apartment as at 30 June: €1,217 Occ
Slide 42: The Forum
Fo r u m , S a n d y f o r d , D u b l i n 1 8 The Forum Property Details(1) Year Built: 2007 # of apartments owned: 8 Total # of apartments: 127 Valuation as at 30 June: €2.4m Passing rent as at 30 June: €0.2m (annualised) AMR per apartment as at 30 June: €1,709 Occupancy as at 30 June: 100.0% Comm
Slide 43: 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) Year Built: 2007 # of apartments owned: 19 Total # of apartments: 19 Valuation as at 30 June: €3.4m Passing rent as at 30 June: €0.3m (annualised) AMR per apartment as at 30 June: €1,208 Occupancy as at 30 June: 1
Slide 44: 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 Year Built: 2017 # of apartments owned: 68 Total # of apartments: 68 Valuation as at 30 June: €27.5m Expected passing rent(1): €1.6m (annualised) Expected AMR per apartment(1): €2,005 Expected Occupan
Slide 45: The Marker
Grand Canal Square, Docklands, Dublin, Dublin 2 The Marker Property Details(1) Year Built: 2012 # of apartments owned: 84 Total # of apartments: 105 Valuation as at 30 June: €59.2m Passing rent as at 30 June: €3.0m (annualised) AMR per apartment as at 30 June: €2,600 Occupancy as at 30 June: 95.2% C
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) Year Built: 2014 # of apartments owned: 95 Total # of apartments: 131 Valuation as at 30 June: €24.0m Passing rent as at 30 June: €1.6m (annualised) AMR per apartment as at 30 June: €1,405 Occupancy as at 30 Ju
Slide 47: Appendix
IRISH RESIDENTIAL PROPERTIES REIT plc INVESTOR PRESENTATION APPENDIX 2 47
Slide 48: Strong Board
IRISH RESIDENTIAL PROPERTIES REIT plc Strong Board Declan Moylan – Independent Non-Executive Chairman • Former Managing Partner and Former Chairman of Mason Hayes & Curran and Chairman of the firm’s International Practice Group • Represented and advised a large number of high profile public and priv
Slide 49: Strong Board
IRISH RESIDENTIAL PROPERTIES REIT plc Strong Board Aidan O’Hogan – Independent Non-Executive and Senior Independent Director • Fellow of the Society of Chartered Surveyors Ireland and past president of Irish Association of Valuers Institute • Retired as Chairman of Savills Ireland in 200949 after 40
Slide 50: Management Arrangements Summary
IRISH RESIDENTIAL PROPERTIES REIT plc Management Arrangements Summary • IRES Fund Management Limited (“IRES Fund”), an indirect wholly owned subsidiary of CAPREIT, became authorised as an AIFM on 28 October 2015. • As disclosed in the Company’s recent prospectuses, the investment management agreemen
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