PGIM Real Estate provides €91.5m financing to Dublin BTR scheme

PGIM Real Estate has provided €91.5m (£77.6m) in financing to Hines and APG for a 431-home build-to-rent development in Dublin. The scheme, located in Cherrywood, south Dublin, is owned through a joint venture between Hines and APG. Completed in 2022, it comprises two blocks and includes retail units on the ground floor and amenity space. It has an occupancy rate of 99% and has strong ESG credentials, including a high proportion of energy produced renewably on-site. The scheme is a part of the Cherrywood Project, a government-designated strategic development zone initiative to build a new town centre in the Dún Laoghaire-Rathdown area. The financing was provided on behalf of the firm’s core debt platform, which provides solutions across Europe for both fixed and floating rate borrowers. James Mathias, senior portfolio manager for European core debt at PGIM Real Estate, said: “There continues to be a chronic undersupply of housing in all markets, with rental demand only set to increase. Our conviction in the living sector and BTR remains strong as it continues to demonstrate strong operational fundamentals and attractive investment opportunities, especially in prime cities such as Dublin, where rental pressure zones are expected to continue to constrain new supply and support occupancy.”