Green REIT to pay maiden dividend next month

Property investment fund Green REIT will next month pay a maiden dividend to shareholders covering its first year in existence.

The company — the first of the new breed of Irish real estate investment trusts to form almost two years ago — said it intends to declare a dividend in respect of the 12-month period to June 30, 2014, of 92c per share (€6.12m in total) next month, subject to board approval.

The payment will represent 85% of the income from the company’s property rental business during the period in question.

The announcement coincided with the publication of Green REIT’s interim results, for the six months to the end of December. Net asset value growth of 11%, to €1.21 per share (€807m in total), was noted. The company also recorded earnings per share of 11.1c and a pre-tax profit of €74.3m.

“The six months to December 31 was a busy period for the company, during which it completed its largest acquisition to date, thereby fully investing equity raised from shareholders,” said chairman Gary Kennedy. “Strong growth in [net asset value] reflects the successful implementation of the company’s investment policy to date and the strength of the Irish property market.”

The company said it foresees macroeconomic conditions in Ireland continuing to strengthen, particularly in Dublin. It added that it will look to drive shareholder value by exploiting the asset management and development opportunities within its portfolio, “while assessing further acquisition opportunities”.