Ires REIT posts 99% occupancy

Irish Residential Properties REIT has grown its occupancy to 99% at 30 April, citing “robust” demand for its properties. This has grown from 98.3% at 31 December, according to the landlord’s latest trading update. Rent collection rates at the landlord stood at around 98% in April, although the REIT said there was no certainty of achieving similar levels in the upcoming months while the Covid-19 pandemic continues to affect the market. Net rental income margin in Q1 remained strong at 80.7%, which Ires said was in line with historic trends. In line with Irish government measures, the landlord has temporarily frozen rent increases to 27 June, as well as on termination notices. The company took delivery of 55 units at Waterside and 18 units at Tallaght Cross West, both in Dublin, during the first quarter, bringing the total owned to 3,739. However, the temporary closures of construction sites during the crisis may result in a delay in receiving delivery of a number of developments, including 95 homes at Hansfield Wood, 69 properties on Merrion Road, and 61 homes at Bakers Yard. Its final dividend for the year ending 31 December, amounting to €16.2m, was paid on 23 March. Loan to value ratio stood at 40.8% at 31 December, below the 50% maximum allowed under the Irish REIT rules and the financial covenants under its debt facilities. The Irish government recently announced a five-stage plan to reopen the country for public movement and business in a gradual way, from 19 May. Margaret Sweeney, chief executive, said: “Despite the ongoing challenging and unprecedented times, I believe that our high quality, diverse portfolio of assets, robust financial position and highly experienced property management team will ensure that our business emerges from the Covid-19 crisis in as strong a condition as possible.” To send feedback, e-mail pui-guan.man@egi.co.uk or tweet @PuiGuanM or @estatesgazette