Irish Residential Properties Reit Plc · EURONEXT:IRES

Irish Residential Properties Reit — Investor Presentation (November 2018)

54 slides from Irish Residential Properties Reit's investor presentation, November 2018

  1. Slide 1: Irish Residential Properties REIT plc

    Irish Residential Properties REIT plc November 2018

  2. 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

  3. Slide 3: Overview Highlights

    Irish Residential Properties REIT plc Overview Highlights Financial Results Operational Excellence and Portfolio Management Portfolio Overview Acquisitions and Developments Market Update Opportunities Ahead Positive Outlook 3

  4. Slide 4: Highlights H1 2018 – Delivering growth in value and dividends for shareholders

    Irish Residential Properties REIT plc Highlights H1 2018 – Deliveringgrowthinvalueanddividendsforshareholders 1 Profits and EPS Profit for H1 18 : €69.5m, +124.2% (30June 2017: €31m) EPS 16.5 cents, +123% 2 Net Rental Income (‘NRI’) €19.3m, + 12.9% (June 2017: €17.1m) 3 EPRA Earnings and ERPA EPS EP

  5. Slide 5: Strong Operating Performance

    Irish Residential Properties REIT plc StrongOperating Performance Occupancy % Average Monthly Rent /€ Revenue from Net Rental Income /€m Investment Properties /€m +5.5% +11.1% +12.9% 100.0 1,550 25 20.0 99.8 19.0 98.7 98.7 1,500 1,539 23 24.1 19.3 95.0 18.0 1,450 21 17.0 21.7 17.1 90.0 1,459 16.0 1,

  6. Slide 6: 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 600 576.5 150 550 504.2 140 Cents per share 480.4 133.0 500 469.6 € millions 435 446.9 130 450 419.5 118.5 112.5 115.1 120 400 107.2 104.3 110 3

  7. Slide 7: Growing Values and Portfolio Returns for Shareholders

    Irish Residential Properties REIT plc GrowingValues and Portfolio Returns for Shareholders EPRA NAV EPRA Earnings per Share Dividends per Share (€ millions) € cents € cents 3.5 +10.7% 6 700 +14.2% 600 3 5 3.1 5.2 500 576 2.5 2.8 4.9 4 504 2 400 470 2.2 3 300 1.5 3.15 2 2.6 200 1 100 0.5 1 0 0 0 2016

  8. Slide 8: PERFORMANCE – Operational Excellence

    PERFORMANCE – Operational Excellence Grand Central – Sandyford, Dublin 18 8

  9. Slide 9: Strong Operating Performance

    Strong Operating Performance 30 June 30 June % Increase/ For the Six Month Period Ended 2018 2017 Decrease Revenue from Investment 24,058 21,666 11.0% Properties(€,000) Net Rental Income (€,000) 19,321 17,134 12.8% Profit (€,000) 69,529 31,024 124.1% Basic Earnings Per Share (cents) 16.5 7.4 30.1% E

  10. Slide 10: Proven Investment Manager

    Proven Investment Manager 10

  11. Slide 11: Excellent Investment Manager

    Irish Residential Properties REIT plc Excellent Investment Manager I-RES Fund Management, an Irish subsidiary of CAPREIT, is the company’s investment manager. ABOUT CAPREIT Founded in 1997, a Canadian leader in the professional property management of rental accommodation, owns interest in 48,272 res

  12. Slide 12: Excellent Investment Management and Operating Model

    Irish Residential Properties REIT plc Excellent Investment Management and Operating Model Technology Staff Training Knowledge& Experience Hands-onApproach Resident andSystems Communications 12

  13. Slide 13: Financial Position and Portfolio overview

    Financial Position and Portfolio overview 13

  14. Slide 14: Strong Financial Position

    Irish Residential Properties REIT plc Strong Financial Position As At 30 June 2018 31 December 2017 Total Property Value €868.5m € 750.9m Net Assets €575.8m €504.0m EPRA Net Assets €576.5m €504.2m Basic NAV per share (cents per share) 133.8 120.8 EPRA NAV per share (cents per share) 133.0 118.5 Grou

  15. Slide 15: Investment Properties Portfolio as at 30 June 2018 – Increasing Valuation

    Irish Residential Properties REIT plc Investment Properties Portfolio* as at 30 June 2018 – Increasing Valuation # apartments Value (€ millions) as at Property Location Location Age % Change from 2017 owned(1) 30 June 2018 31 December 2017 31 December 2016 Sandyford 1 BSQ Sandyford 10.5 225 € 90.6 €

  16. Slide 16: Acquisitions and Developments 2018

    Acquisitions and Developments 2018 16

  17. Slide 17: Strategies For Future Growth

    Irish Residential Properties REIT plc Strategies For Future 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 attracti

  18. Slide 18: Hansfield Wood, Dublin 15

    Acquisitions and Developments 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 VAT, but excluding other transaction costs), comple

  19. Slide 19: Hampton Wood, Dublin 11 and Merrion Road, Dublin 4

    Acquisitions and Developments 2018 Hampton Wood, 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 • Investment anticipated to generate gross yields of c. 6.25% Merrion Road, Dublin 4 On the 16 November 2018, I

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

    Irish Residential Properties REIT plc Development of Existing I-RES Properties • Opportunity to add approximately 600(1)apartments I-RES Development Sites at currently-owned I-RES properties # Units at Name Status Completion • Significant infrastructure (e.g. parking) already in place Tallaght Cross

  21. Slide 21: Market Update

    Market Update 21

  22. Slide 22: Market Update

    Irish Residential Properties REIT plc Market Update DEMAND OUTWEIGHS ECONOMIC POPULATION SUPPLY GROWTH GROWTH  Growing apartment sector  Ireland remains the fastest-growing  Young and steadily growing population of  Housing supply shortage will not be resolved economy in Europe Irish-born and in

  23. Slide 23: Economic Growth

    Irish Residential Properties REIT plc Economic Growth Strong 2017 GNP growth and forecast Unemployment is dropping for 2018 9.0% 10.0% 2,150 16.0% 9.0% 2,100 14.0% 6.9% 2,050 6.6% 8.0% 12.0% 2,000 5.7% 7.0% 1,950 10.0% 6.0% 4.2% 5.0% 1,900 8.0% 3.3% 3.3% 4.0% 1,850 6.0% 3.0% 1,800 4.0% 2.0% 1,750 1,

  24. Slide 24: Population Growth

    Irish Residential Properties REIT plc Population Growth Growing Irish Population Population growth is supportive by the highest birth rate in Euro 4,850 200 Change in Population (in thousands) 4,800 150 Population (in thousands) 4,750 100 4,700 42.4 51.7 52.9 50 20.1 18.8 21 30.7 4,650 0 4,600 4,550

  25. Slide 25: Positive Outlook

    Positive Outlook Intensification, Developments and Accretive Acquisitions • Opportunity to increase portfolio units by c. 25% from current owned sites, subject to successful planning permission • Development and acquisition capacity of c. €160 million Strong Real Estate Fundamentals • Growing Irish

  26. Slide 26: Sustainable Growing Dividends

    Irish Residential Properties REIT plc Sustainable Growing Dividends Dividends Per Share Residential sector with high quality assets give long-term, sustainable and steady returns (cents) 6.0 Sustained rental growth being achieved in the Dublin residential lettings market 5.0 5.2 4.90 4.9 + 4.0 3.15

  27. Slide 27: Strong Governance

    IRISH RESIDENTIAL PROPERTIES REIT plc Strong Governance Board of Directors Declan Moylan Margaret Sweeney David Ehrlich Independent Non-Executive Chairman I-RES CEO & Executive Director Non-Executive Director, CEO of CAPREIT (Investment Manager Nominee) • Former Managing Partner and Former Chairman

  28. Slide 28: Strong Board

    IRISH RESIDENTIAL PROPERTIES REIT plc Strong Board Aidan O’Hogan Joan Garahy Phillip Burns Tom Kavanagh Independent Non- Independent Non-Executive Director Non-Executive Director Independent Non-Executive Director Executive and Senior Independent • Former CEO of Corestate Capital, • Former Partner a

  29. Slide 29: 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 November 2015 for initial term of 5 years from that date. • The Company may internalise at no cost after

  30. Slide 30: Appendix Portfolio Details

    IRISH RESIDENTIAL PROPERTIES REIT plc Appendix 1 Portfolio Details 30

  31. Slide 31: High Quality Portfolio

    Irish Residential Properties REIT plc HighQuality Portfolio Value as at Commercial space owned Property Location Year Built # apartments owned(1) Average mthly rent per apt.(1) (2) Occupancy (1) (2) 30 June 2018(1) (sqm)(1) Sandyford 1 BSQ 2007/2008 225 € 90.6m 2,395 € 1,800 91.10% 2 Grande Central

  32. Slide 32: Superior Dublin Locations

    Superior Dublin Locations SANDYFORD 22 01 BEACON SOUTH QUARTER 12 THE LAURELS 17 Tallaght D24 (19 units) Sandyford D18 (225 Units) 02 GRANDE CENTRAL 13 TALLAGHT Sandyford D18 (65 Units) CROSS WEST 21 Tallaght D24 (442 Units) 03 ROCKBROOK GRANDE CENTRAL INCHICORE DRIMNAGH Sandyford D18 (81 Units) 14

  33. Slide 33: 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

  34. Slide 34: 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

  35. Slide 35: 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 #

  36. Slide 36: 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 #

  37. Slide 37: 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

  38. Slide 38: 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

  39. Slide 39: 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

  40. Slide 40: 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

  41. Slide 41: 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

  42. Slide 42: 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

  43. Slide 43: 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:

  44. Slide 44: 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 30 June:

  45. Slide 45: 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

  46. Slide 46: 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

  47. Slide 47: 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

  48. Slide 48: 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

  49. Slide 49: 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

  50. Slide 50: 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

  51. Slide 51: 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

  52. Slide 52: 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

  53. Slide 53: 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: 93  Stylish fu

  54. Slide 54: 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: 98 (2)  Bright and spacious kitchens Total # of residential units: 99 (2)  High

Irish Residential Properties REIT — Investor Presentation (November 2018) on 6ix