Irish Residential Properties REIT, Ireland’s largest private landlord, reported an increase in revenue for the first half as the occupancy rate rose to over 99 per cent.
The company reported net rental income of 32.6 million euros for the first half of the year, an increase of 4.1 percent compared to the same period in 2021.
The increase in rental income was due to the acquisition of 152 apartments in Ashbrook, Clontarf, organic rental growth and improved occupancy. However, this was mitigated due to increased costs associated with property taxes, utility and maintenance costs.
Revenue rose 6.7 percent to €42.1 million in the six months ended June 30, according to I-RES, due to the same factors that drove the rise in rental income.
The occupancy rose from 98.6 percent in the previous period to 99.3 percent. But the company said this effectively represents full occupancy “when accounting for short-term vacancies due to turnover.”
The company rents 3,998 homes, up from 3,836 at the end of June last year.
The Company’s properties include the high-end Marker Apartments in Grand Canal Square and the Elm Park development near St Vincent’s Hospital in Dublin 4, as well as modern developments in Tallaght, Finglas and Inchicore.
The average monthly rent per unit rose to €1,688 in the first half of 2022. This was an increase from €1,641 at the same time last year.
The company said its average rents are estimated to be 10 per cent below market rents, adding that our average rents in Dublin, where most of its properties are located, are approximately 16 per cent below the Residential Tenancies Board’s most recent rental index.
Commenting on the results, Chief Executive Margaret Sweeney said: “Housing construction in Ireland remains challenging, primarily due to a significant shortage of supply, and as such we are delighted to be adding much-needed new housing to the market.”
“This year we have expanded our portfolio by investing in 152 homes at Ashbrook in Clontarf (of which 44 will be delivered in 2023) and the delivery of 61 units in our new development – The School Yard. We also expect to close an additional 69 new homes in the Tara View development shortly.”
https://www.independent.ie/business/irish/irish-residential-properties-reit-reports-strong-occupancy-rate-as-revenues-rise-41904622.html Irish Residential Properties REIT Reports Strong Occupancy as Revenue Rises